The demonstration shows that it does stop AI
Still cool+fun though.
I mean, I can defeat AI by putting white text on a white background and turning to a picture. Also means it's worthless for actual humans to read too. Try to actually use it on a site and chances are you'll get an ADA complaint.
I really doubt that. We've had 2 decades of godawful letter-based CAPTCHAs and I don't think anyone got into legal trouble because of it?