I can't believe I'm not sure after two eras, but what does iron Feruchemy actually do? In the second era, Khriss told Wax that iron Feruchemy conserves momentum, but if the mass is actually gone, then in two inertial systems that move at different velocities, the momentum cannot be conserved in both of them.
For example, if there is an object that moves in system A with a mass of 4 kg and a velocity of 2 meters per second and system B moves along with it. In order to conserve momentum in system A, if the mass is decreased by half, the velocity would need to be 4 meters per second. However, to conserve momentum in system B, the velocity of the object would need to be maintained (its momentum is 0 kg*meters per second). Thus, momentum cannot be conserved in both system A and system B simultaneously.
Here's another example: if momentum is conserved in the system that moves with the planet (Scadrial, in this case, apparently), but does not rotate with the planet, then if a person uses Feruchemy to increase or decrease their mass and is not located at the planet's poles, they would fly out of the planet due to the momentum conservation principle.
Some people may argue that the mass and momentum are stored in the cognitive realm, but we know that if a person stores mass during the day and uses it at night, they wouldn't experience a push to the side. However, according to this theory, the momentum would throw them to the side (actually setting them in their place, but the planet would rotate).
So, my guess is that it depends on the Feruchemist's point of view. I think that the Feruchemist sees themselves as a part of a system, and naturally, all the objects that they consider (on some deep level) to be in this system. When the Feruchemist stores mass, their mass is actually divided among the entire system. Maybe each object gets a portion based on its mass divided by the mass of the system (and the Feruchemist can have a portion of that, gaining back some of the mass) or maybe not. With this mass, the system's velocity moves (and then the momentum is conserved).
For example, if a Crasher (an iron Feruchemist and steel Allomancer) throws a coin to the ground and then flies into the sky and reduces their mass by half, their velocity in relation to the system will be doubled (and probably move with the planet), and they will not be pushed to the side (as I had originally imagined). This is because the momentum that would have made the push was divided in the system, and the planet likely absorbed most of it (and the mass of the planet makes it negligible, like grounding in electricity). Their velocity in relation to the system (how they see their velocity) will then double, perhaps almost entirely if some of their mass returns to them in the process.
The theory has some versions. Each has some implications and there are experiments that can determine which one is true, but it is a little long so I'll finish here for now.