I see a few issues. First, routing the front brake line down the steerer and out and over the arch just looks like guillotine for the brake line between the arch and crown. Maybe not all at once, but that's some hard bends at bottom out. Second, with some tire and travel combos I could see a bit of tire buzz on the brake line as well. Third, in the event that one stacks it hard, the bars will have no limit to their rotation or the # of times they can spin (if run with AXS), so the possibility of breaking a brake line and not knowing it seems pretty high. A slight tear in a brake may not show itself well initially, but get worse in use after the crash, causing a brake failure.
I like the looks and concept, but i think a MTB is the wrong place to apply it.