It does seem like this proposal has exactly the same issue. Unless this new method blocks cloning when unable to access the promisors, you'll end up with similar problems of broken large files.
And what happens when an object is missing from the cloud storage or that storage has been migrated multiple times and someone turns down the old storage that’s needed for archival versions?
You obviously get errors in that case, which is not great.
But GP's point was that there is an entire other category of errors with git-lfs that are eliminated with this more native approach. Git-lfs allows you to get into an inconsistent state e.g. when you interrupt a git action that just doesn't happen with native git.