FLIF on the other hand is lossless, so the image would be truly identical (pixel for pixel). However the filesize will likely be much larger, as MP4 is a very good at lossy compression. What BPG is doing is better performed by HTML5 video formats that already exist due to hardware acceleration support for H.264 and better memory management for video. Also there are patent issues with BPG due to it being based on HEVC.
FLIF is patent free, making it the more likely candidate for mass adoption. It's animation, like APNG is lossless and supports full 24-bit transparency (versus GIF's 8-bit). However the filesize for FLIF is considerably smaller than APNG, even when crushing it with algorithms like Zopfli. Still though, for full frame video, you'll have a better time with MP4, though FLIF will be better quality, it will only be marginal and not likely noticeable in most cases.
What is interesting is the responsive aspect of FLIF. If you encoded an HD video, but only display it on a page at a lower resolution, it will only download the minimum amount of data required to display the image up to that resolution. So it could technically require a lot less bandwidth from a server compared to MP4 if the user doesn't fullscreen the video. But this is more to do with implementation than with formats. YouTube does this same idea, though with a completely different style of execution, in which they only give the the quality for the resolution you are playing it at.
2) The reference implementation will most likely change to a more permissive license, cf https://github.com/FLIF-hub/FLIF/issues/192
3) If digital cameras would use FLIF, they would probably need to implement a simplified encoder in hardware, e.g. one that uses a hardcoded (set of) MANIAC tree(s) and only uses a subset of the available encoding options. Otherwise it will be too slow.
Encoding those 369 PNG files to a LOSSLESS BPG animation (using bpgenc 0.9.6 with options -lossless -a) produces a .bpg file of about 50MB.
Encoding them to APNG (using apngasm 2.7) results in a 57MB animated PNG file.
The corresponding progressive FLIF animation is 20 MB.
Obviously it is not a good idea to losslessly encode lossy images/movies, as a lot of bytes are wasted on encoding compression artifacts.
For lossy movies, actual video codecs are best, since they're designed for that. BPG is essentially HEVC (a great but patent-encumbered video codec) so it should be good at lossy movies -- it will be worse on line-art animations with hard edges like e.g. cartoons, or animations with transparency.
You could just truncate the file at x% and get lossy encoding that way.
However, truncated FLIF files will (probably) never achieve the same quality/size ratio as dedicated lossy methods that can produce a completely different file for each quality setting.
So at the moment I still see an important use case for lossy methods. However, in the future, I can imagine that people will start to demand/expect lossless encoding, to avoid generation loss and to get the most out of their display hardware. E.g. higher bit depths are becoming a thing, while the JPEG/WebP color space (YCbCr) is effectively less than 22 bits per pixel (roughly speaking, red and blue are only 7-bit), and chroma subsampling makes this even worse. Also what's the use of ever higher display resolutions if most of those pixels are only displaying compression artifacts or blur? Lossy formats like JPEG/WebP/BPG/JP2/JXR are good at medium-quality, but if you use them at a near-lossless quality setting (e.g. 99 or 100 for JPEG), they often produce bigger files than lossless formats.
Meanwhile, the range of display sizes is getting larger: while in the past, we had a range from say 13" monitors to 21" monitors, now we have a range from 1.5" smart watches to huge 100" smart TVs. I do think that in order to avoid huge amounts of rescaling/transcoding, we need image/video formats that are "responsive by design", like JPEG2000 and FLIF (and progressive JPEG to some extent).
Writing out the detailed spec is going to take some effort.