Palestine is only a state due to international recognition. It meets no definition of a state, it controls no land, has no currency, government, military, etc. It meets no criteria for statehood yet is recognized by most of the world as a state. Taiwan (and e.g. Somaliland) meet all the criteria for statehood and yet are not recognized as states. Venezuela, Iran and Cuba meet the criteria for statehood and ofcourse are actually recognized universally as states. State (pun intended) of the world.

I would like to believe there's no chance Xi would invade Taiwan but I also didn't think Putin would invade Ukraine. Those leaders are full of themselves. If we learnt much over the last few years is that anything can happen. China has both declared the intention and built the capabilities to invade Taiwan. As the saying goes if a loaded rifle is introduced in the first act of a play, it must be fired by the final act.