Has anyone tried something like this: https://www.net-usb.com/
Ideally, my goal would be High Availability and then have each VM simply talk to the USB hub…
I haven’t used this software myself, but it sounds interesting.
However, thinking about the overall system architecture, this approach still has a single point of failure which is the server where the USB device is physically connected. Or am I missing something?
I feel as though it is not worth the hassle. You still have a single point of failure, and you end up spending more money… There are easier things to practice high availability with 
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I get the “single point of failure” (for usb connected devices), but at least then you could in proxmox, still have access if your main install goes down to things that are not usb driven? Surely this would then also be a step closer to overall High Availability?
In terms of other strategies, using proxmox as the environment, what other strategies would you recommend?
Exactly,
You can play with HA for the VM itself, but I personally wouldnt go around trying to get USB working for them all.
Far easier is just having your auto backups setup correctly, so that if something goes down you can easily install a new copy and restore the backup and be back up and running in minutes with clean fresh install
backups are not High availability… in my use case, what is important is things like notifications etc for things that are not necessarily connected to USB, however as devices are physically connected to USB HA is not available in Proxmox. So ultimately looking to move USB to Ethernet or other virtualised ports simply enables me to use the High availability in Proxmox which is my main goal…