That Sephardic Jews can code-switch between Spanish and Ladino (just as Ashkenazi Jews can code-switch between German, Russian or Polish and Yiddish, which like Ladino is a hybrid language) does not make them "Spaniards." Yes, from time to time in Spain there were thriving Jewish communities (as there were, from time to time, in Russia, Poland, and Germany), but Jews were never considered Spaniards. So, for example, like Jews all over Europe, beginning in the 13th century, Spain required Jews to wear yellow badges (the badges which eventually became the Nazi yellow stars) so that they could be identified as Jews, not Spaniards.
Now, don't get me wrong -- I love Spain. I go there every chance I get. I plan to spend much of my retirement there. And I love the richness of the Jewish history of Spain; I own several pieces of ancient Judaica from Spain. But that doesn't negate the fact that the history of Jews in Spain is one filled with persecution and sorrow.