My views are a summary of what I have gleaned from reading anti-doping literature and talking to contacts I have had in WADA. The actual process of determining whether a drug should be banned is quite complicated, and involves wide consultation from a range of scientific experts and others involved in sport. As I have indicated, WADA comes to a view that a particular drug has the "potential" to be performance enhancing based chiefly on that consultative process, because it isn't typically possible to conduct studies on elite athletes, for the reasons I gave above.
The issue for WADA is also a legal one, as their Prohibited List is a legal document that could be subject to legal challenge. The main requirement is that the substances are correctly described. I am aware - in part because I am legally trained but also from conversations with officials - that in saying a drug has the "potential" to be performance enhancing effectively removes the legal burden of proving it.
Here is a summary from USADA about how WADA decides a drug could be performance enhancing.
"Before adding a substance or method to the Prohibited List, WADA examines emerging doping threats and reviews research from scientists around the world. This research helps WADA determine if a substance or method indeed provides performance-enhancing effects."
"In 2016, for example, the review and consultation process allowed WADA to determine that 5α-androst-2-ene-17-one, commonly known as “Delta-2” or 2-androstenone, should be added as an example of a metabolite of DHEA, more recently found in dietary supplements and prohibited at all times."
"Due to research limitations and/or ethical concerns, it’s not always possible to design human research studies to identify the performance-enhancing qualities of all substances. Therefore, in some cases, the Prohibited List Expert Group must make judgement calls based on comparisons to other similar prohibited substances to determine whether inclusion is warranted."
"Over time, the use of substances for performance enhancement can also become part of the culture in a specific sport, which is why WADA and anti-doping organizations worldwide maintain the Monitoring Program. This program identifies trends of substance use in specific sports by testing for substances on the monitoring list, analyzing both in and out-of-competition samples, and aggregating the results by sport."