So I made the changes you did, and I see how you thought it might have been a bit better. I’ll try to explain…
When you plugged the transform directly into the spawn actor node, it made the POGs really tiny (original 3DS Max export scale) because it was defaulting scale back to (1, 1, 1). While it may to have appeared looking good, when I zoomed in (via ejecting from controller) they were almost all inside of each other, most ignoring all collision between one another.
I thought, "maybe it was because the scale of the object (like you said) was too small and physics/collision was having a hard time, so from the Spawn actor location node, I made a new transform and plugged in (3, 3, 7) for scale.
This made it a a good testable size. The video below shows the results of this change, along with all other changes you suggested).
It bounces like crazy, still! Back to square one…
HOWEVER, I did make some discoveries with further testing. In the first few seconds of the video, you notice how the POGs are perfectly stacked? That’s exactly how it should look! But, the problem is, I only happened to get this result because at the time, my screen capture software was counting down to record and it was taking away control of application focus to the editor, before PIE was able to actually run my game. As soon as I escape the project and press Play normally again, the same crazy bounciness issue occurs on my POGs. I also proceed to show how moving my mouse around, right-click holding and releasing, initiating a bounce from nowhere. If I stop moving my camera, or the mouse, it settles down and doesn’t do anything.
I tested this further after the video ended and ran it as a standalone game. As you are aware, standalone games never start with focus. I got the result I was looking for. So something is different from running in PIE and standalone, and I think it has something to do with the focus on start. Let me know!