Right, I think I want a nation for all the German small states then. I think the Holy Roman Empire consisted out of 300 small states.
No seriously! We don't need more nations, we need less. We all saw how the Danish demolished the Swedes and the French. They had simply to less players. So we need less nations to balance the game and the player base. For example Sweden and Denmark played a minor role in the Caribbean historically.
Without those nations the game would still have a lot of nations to choose from, but it would be more balanced. That is why we don't need Russia or Prussia in this game.