This splitting of seed phrase words into multiple parts sounds a lot like Shamir Secret Sharing,
That's exactly what it is.
you are not really eliminating single point of failure like you said in your video.
Having only the seed phrase is a single point of failure. Introducing a mechanism to recover the wallet even if you lose the seed phrase eliminates this
Other dangers of using something like this is that there is no standardized implementation for this method,
In the future, we will be implementing something more standardized like SSKR and Seed XOR.
I would like to see some documentation for your Social Recovery feature.
https://support.airgap.it/features/social-recovery/