My vote is for 2, but also it’d be cool to have a setting in the webconfig to set this preference
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I vote for 2, awaiting send channels to be another option in the future.
Regards
My vote is for 2. It feels closest to a DAW workflow that way.
This has moved on a little. We now have a chain view and the processor gets inserted at the position of the selected processor. That will be in parallel with a selected processor or before the mixer (pre-fader) if the mixer is selected. There is some logic to this but it may not be optimal. It is easy to move the processor after inserting it, either with menu/encoders/buttons, or drag with touch.
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Whoops! Forgot to check the dates on this thread. 
Thanks for reactivating this topic, I didn’t know about the draggability!