Yes, you can run 1.020 if you are keeping the appropriate animals. Keep in mind that the higher/lower your SG, the higher/lower the concentrations of elements will be as well as salinity. A tank run at 1.020 will have less calcium, etc. than a tank kept at 1.025. Granted those elements can still be diminished significantly and the SG will remain the same but as a general rule, the higher the SG, the higher the element content will be. That is even more important on a small nano that is not being dosed (perhaps you will?) and is reliant on water changes for nutrient removal as well as element replenishment.
DO NOT use 2 pumps to move water back and forth to the display and sump. That will not end well. You need a siphon/gravity drain to bring water to the lower tank (yes, your sump/refugium can be above your display but see below). If you use a 10 gallon, it will not be predrilled and drilling a 10 gallon is tricky due to the thin glass (take it to a glass shop if you do this). Drilling would allow the installtion of a number of different overflow boxes (important for surface skimming and noise control). Some of those boxes are very low profile. Other options is a small HOB overlow box that either runs on a siphon (then gravity) to take water to the lower tank. Lots of options out there for drains including simple PVC DIY drains (not a propoenent of these myself). I understand you wanting to keep the display clean but there just is not another way to safely move water.
Lack of a baffle in the lowest tank leads to the entire water level in that tank being variable as evaporation occurrs. A baffle will maintain the height in one section and evaporation will occur in the other (where the return pump is located). Water always evaporates at the lowest point first. I am not sure if you are planning on using a submerged skimmer in your sump but if you do, you will want to have at least one baffle to maintain the water height that the skimmer sits in.
DO NOT use 2 pumps to move water back and forth to the display and sump. That will not end well. You need a siphon/gravity drain to bring water to the lower tank (yes, your sump/refugium can be above your display but see below). If you use a 10 gallon, it will not be predrilled and drilling a 10 gallon is tricky due to the thin glass (take it to a glass shop if you do this). Drilling would allow the installtion of a number of different overflow boxes (important for surface skimming and noise control). Some of those boxes are very low profile. Other options is a small HOB overlow box that either runs on a siphon (then gravity) to take water to the lower tank. Lots of options out there for drains including simple PVC DIY drains (not a propoenent of these myself). I understand you wanting to keep the display clean but there just is not another way to safely move water.
Lack of a baffle in the lowest tank leads to the entire water level in that tank being variable as evaporation occurrs. A baffle will maintain the height in one section and evaporation will occur in the other (where the return pump is located). Water always evaporates at the lowest point first. I am not sure if you are planning on using a submerged skimmer in your sump but if you do, you will want to have at least one baffle to maintain the water height that the skimmer sits in.