Isn't this basically a repo within a repo?

The WordPress.org repository doesn't allow plugins that are repositories of code hosted outside of WordPress.org.

Section 8 of the WordPress.org plugin repo rules:

"Executing outside code within a plugin when not acting as a service is not allowed, for example: Serving updates or otherwise installing plugins, themes, or add-ons from servers other than WordPress.org’s."

Isn't this pretty much what this does? It's acting as a 3rd party repository of Gutenberg blocks. Which seems to fall within Section 8 of WordPress.org's plugin repo rules on not allowing serving updates or installing plugins/themes/add-ons from servers other than WordPress.org's.

If this was a plugin that delivered plugins it wouldn't be allowed. But it's a plugin that delivers Gutenberg blocks so it is allowed?

It seems to me the rules need to either changed or they need to be applied consistently because they obviously are not being applied consistently based on this being allowed in the WordPress.org repository.