That should work. One of the benefits of Wayland is that it's better at scaling than X11. What version of KDE are you running? Is there a switch between two different types of scaling (one is blurry for XWayland applications but works for all of them, the other is sharp for all applications but only some XWayland applications and all Wayland applications work)?
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I’m on the latest version of KDE (5.27.8) and scaling works in an X11 session but makes text and icons of my KDE panels blurry in a Wayland session at 200% scaling.
Edit: one has to restart the computer after setting scaling for it to work properly. Otherwise it can cause weird glitches like what I reported 😅