In Wayland those tasks have been split out into libraries. The details of the protocol IPC is handled by libwayland, the input is handled by libinput. Screen multiplexing is specific to the compositor and not really something you can farm out to a library, which is the same as composited X where the compositor process takes over the entire screen and handles all the rendering.
It would be interesting if someone combined an X server with a Wayland server like you described, but I don't think it would be useful. A lot of your legacy applications would still be broken, for example no old clients or window managers are rendering using DRI3. If you want to design an extension for client isolation, the problem there isn't that X doesn't have that but that the existing methods don't really work well. My suggestion there would be to talk to any desktop environments to find out what their requirements are, if they haven't already committed to switching to Wayland already. (i.e. GNOME and KDE already have their solution for this in Wayland) It may be that an additional X extension is unnecessary for what the other desktops require.