Small engines are more easily overwhelmed by friction losses than larger engines. Model engine builders developed a system of chrome plated brass cylinders with high silicon aluminum pistons that can have very low friction when fitted correctly. Other very small engines (Cox) used precision ground, hardened steel pistons and cylinders like hydraulic valves. Lapped cast iron piston and cylinders (Fox) also have been very successful.
It's easier to get a good seal with piston rings, though, so there's a point where they will work better. Gasoline as a fuel results in higher temperatures than alcohol based fuels so differences in expansion are tougher to deal with in gasoline engines. A recent example is the CMB 35 cc gasoline engine. CMB tried to use their ringless piston design that's successful in their 16 cc engines that run alcohol based fuels. It was a failure and they ended up with a ringed piston. The aluminum pistons usually seized in the chromed liners at full power, even after careful break in.
Lohring Miller