The withdrawal of the red card is the right decision, but it really raises questions on the match ref and the VAR system. This is the first time that I've seen a VAR decision overturned. The FA by withdrawing the card are basically saying the people running VAR that night were incompetent and the match ref no better.
The issue is NOT VAR
The issue is the application of referee's knowledge of Football and The Rules
This is shown in that, though the team asked the Referee to look at what they thought may be worth overturning, the referee ultimately made the decision.
He could have easily communicated:
"This is not clear and obvious to over-turn. Player is playing the ball, the ball is in-play and is in control of the ball.
Both in real-time and on the replay his follow-through is natural and catches the opposition player by sheer chance.
This unfortunate but there is no intent and it would be unreasonable to designate this as a foul or deliberate and/or form of "Dangerous" play.
I will stick with my original decision. Thank you VAR team."