Your C2: You have bone spurs (which is what "osteophyte" denotes).

The other levels of your C-spine also seem to have spurs, based on what you posted.

The C-spine or levels encompass your cervical spine, not the T-spine or Thoracic.

As you noted, from your MRI, the C6-C7 and T1 are "unremarkable," meaning nothing out of the "norm" was detected or discerned. TOS? I don't understand how that would factor.

You have arthritis - spurs and facets (which provide for mobility and movement).

You didn't state your age range, and that's okay, only... with time and with activity and age, many people end up with the same as you. Some with syptoms and some without.

Spur removal is possible, only, the spurs will return - with time.

The stenosis is what I'd want monitored most closely; it's spinal cord compression.