Tire ballooning is bad for racing and is something to be avoided. Mostly happens when accelerating and the center diff is very light and basically the front diffs out. Pretty much means you won't have much steering when accelerating and the wear on the tire will be awful.
If you're talking about all four wheel ballooning when accelerating it's just the motor which is OP. Way too much power for anything to be controllable. Again tire wear, suspension compromised (foam won't do it's job )etc...