I think it's great for a donation address, although it might be a little late as most people shouldn't want to give small donations on the base layer.

Its good for auto withdrawals from exchanges. Its generating a new address each time without revealing the cold wallets xpub (privacy improvement).

One thing I don't like is the name. It's going to confuse noobs into thinking that it magically makes your KYC'D UTXO private. This is not the case. All the underlying heuristics are still there.