I have a BBS I on an Avid 2wt and it's a fun little outfit for panfish and even smaller trout. I have an extra spool and have used it on a 3wt I have but not all that often. I usually use my 2wt if really going light or bump up to a 4 or 5wt.

I've found the drag on the reel to be fine but to be honest I haven't tangled with anything that really has pulled all that much. I'm sure it's smooth under pressure though.