It's not unprecedented in the open-source space though; the PCSX2 PlayStation 2 emulator for example contains a MIPS -> x86 recompiler, and the RPCS3 PlayStation 3 emulator contains a Cell -> x86 recompiler.
Also though, since Rosetta 2 was released, it's had an incredibly slow implementation of x87 FPU operations, and anything that relies on x87 floating point math (including lots of games) is currently running about 100x slower than it ought to. Apple is aware of it but it's still not fixed in Ventura.
I hadn't heard of FEX before, looks interesting.
What software do people have x87-related issues with?
The author of REAPER has also written about it some: https://user.cockos.com/~deadbeef/index.php?article=842
There's been lots of discussion about the issue in the Codeweavers forums, and Codeweavers points the blame squarely at Apple, who have been, predictably, very quiet about it.
There's no macOS host to interact with on AWS Graviton3 instances.