Yea. I would consider VM's an "edge" port in this scenario, but some caution is needed there because you may have multiple VLANs on those links. A loop on ANY VLAN on the port would block ALL traffic. If you are okay with taking the MLAG ports down if a loop is detected, potentially segmenting downstream devices, then it can be enabled there as well.
I guess with ELRP egress blocking you can kind of boil it down to this:
- If you enable it, you need to be willing for that port to be completely blocked should a loop be detected based on an ELRP frame that left that port.
- If you do not enable it on a port, that port will never be blocked if a loop is detected on that port.
Of course, I am assuming you are disabling the ports, you don't
have to disable them. You can simply log and/or trap.