Parents who do no screen time, are there certain toys that you don't allow for similar reasons?

Firstly, no judgement on parents who use screens. We definitely sometimes use screen time as well. I just want to be mindful about how much screen time my son is getting overall and don't want to overdo it if some of his toys might be having the same affect as screens.

I've seen some toys that seem almost as flashy and addicting as screens, that it makes me question if they would be just as harmful and shouldn't be played with for long.

We recently got this Leapfrog letter tracing toy and my 2.5 year old has been obsessed with it. Played with it for hours the first day he got it. It looks like this. It made me wonder how it differs from apps on an iPad that might similarly have a game component teaching kids to write words (which would be considered screen time and should be limited).

Just wondering what other parents think. Should toys like this be limited? Should any activity that a kid is too engaged in and doesn't offer any back and forth play be limited? I don't think there are any studies on flashy toys being harmful, but if anyone has any they found on the matter, that would be great as well.