After reading through the statute a couple of times, and reading historical references posted by others, it's apparent to me that what's wrong here, is that the US is lacking clarity in its citizenship laws and definitions. Not to mention the fact that the Natural Born Citizen phrase and intent is not agreed upon by all.
We obviously need some clarity on all of this. Thankfully, this may finally be taken up by the Supreme Court and sorted out. The sooner, the better too. Times a'tickin' and January 20th looms.
If someone, anyone, can show me a legitimate source that contradicts my position I will happily acknowledge it and convert. Thus far it has not been forthcoming.