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Creating many custom fields has two undesirable effects in Jira:
Performance. Since Jira 8, this a lot less of a concern, but every field you create adds a little bit of load. The effects vary, some custom fields are better than others, and you need to remember that 3rd party field types could do almost anything. But if you're on Jira 8+, this is a minor thing.
Confusion. This is by far the most important thing. Why are you creating loads of fields? Of what use are they all in reporting and getting things done? Are you demanding people fill in a hundred and eleventy twelve fields just to get something approved and done (have you been working with bloated and/or legacy systems like Remedy, Cherwell, Service Now, etc)
The official page you probably want is at https://confluence.atlassian.com/enterprise/managing-custom-fields-in-jira-effectively-945523781.html
Bear in mind the article is based on testing Jira 7, rather than 8, so the numbers are not particularly useful to you.
As I said, Jira 8 is a lot less affected by the field contexts than 7 - I can give you a broad overview of why if you really want (it's not very interesting)
I've recently worked on a project where we did similar benchmarks to the ones Atlassian have in their docs. On an install of 7.13, looking at 600 global custom fields, we converted them to project-only contexts. The actions in the speed test either didn't change, or got faster by up to 4%. Deleting the fields was more effective, even when we'd merged fields instead of deleting a whole dataset.
On an install of 8, the improvements from limiting contexts to projects were negligible, but field deletion did have a significant effect.