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Seems like a nice feature. I can't comment on the possible risks mentioned in the reddit post. I like your writing style. Good and interesting to follow.
The privacy concerns are valid and it is true that the chain would get a lot more traffic from this feature, it is probably alright for the people that right now are already fine with using transparent chains for payments. It's a mobile-hotwallet and while some people might have a threatmodel where losing some privacy is not acceptable, I personally would just use seperate wallets for different usecases. I'm also fine with having some more chainbloat if it means Monero becomes way nicer to use for the not-so-technical people and instead "it just works".
Honestly, I don't think the 20-minute "security" barrier is an barrier at all. You really think without more people would use it, why? If you understand or know why it's there, you can deal with it. And if you really need multiple transactions in a short time, then using multiple wallets or sending transactions to yourself between two wallets and different addresses seems like an acceptable sacrifice, like you have written. But still, if they improve it, all the better.
To me it's not a problem. I know how Monero works. Like you said, I can plan ahead for events in which I might spend multiple times in short succession by sending to myself.
I also know that not many people know this much about how Monero works so this is imo a great noob-friendly feature abstracting away the manual send-to-self and noob-friendlyness is surprisingly important when it comes to crypto.
It is part of the Monero experience. Once you learn it is there to keep your transactions more private then it's all good and you just work around it.
Then when you become a Monero chad it does not matter anymore because you have 20 outputs.
It is, 100%.
If I onboard people by sending them a small amount of monero and they cannot do anything for 20 full minutes (!!!) that is insane and never going to work in their minds. We need to stop having the illusion that the world is like us. If you do not understand why its there then it is just a black box that does NOT do what it should do