Recently I heard someone is trying this again with water heaters. The working fluid has roughly four times the heat capacity of water, so your “water” heater is substantially a fluid heater with either no water tank or a very small one. Incoming water is heated with the fluid, and the fluid is heated on demand. Only the heat exchanger has maintenance concerns.
Driving the whole thing with a heat pump makes the math a little more fiddly, since peak pump efficiency and peak power prices overlap some of the same parts of the day. You’re calculating BTUs per dollar, not watt hours per dollar.