FLIF has very good compression, it will only download the minimum amount of data required to display the image at it's current resolution. It supports 32-Bit images/animations/transparency. It does animation playback in realtime while it's downloading the file. So as it plays the resolution just increases, you aren't waiting for the next frame to load, only improve. FLIF can also handle the incredibly high resolution images that TIFF is usually used for, and can even do tiled rendering, where it only loads the chunks of the image you are zoomed in at into memory at that resolution. Meaning it takes less time to render those chunks on gigantic images and it uses less memory to do so.
FLIF is an incredibly powerful format that offers a lot. It has archival, scientific, and web purposes. It likely won't be useful to those in 3D or Gaming as files like TGA are better suited for faster reading/loading where as FLIF is a little slower to decompress than PNG. But then again, game devs have been optimizing resource usage for a long time giving models that are further away lower poly counts and lower quality bitmaps/textures. So having one flif image to work at any distant may be of use for them, where they truncate the file at different lengths depending on distance from the camera.
There is a lot to be explored with this format, and it isn't even finalized yet.
I see this commonly in different business and medical applications where information may need to be accessible for years or decades after creation. There is a pretty even mix of TIFF and PDF/A in these environments and because of the legal liabilities I don't see them being displaced.
This format isn't complete yet, if layering is important to you, you should join the gitter.im/FLIF-hub/FLIF chat room.
Why do I care about having a "dot flif" file when the new codec is the important improvement?
Is '*.flif' actually a good thing?
Personally I don't think so, mainly because without a mechanism to drive adoption in browsers, the format offers very little value to anyone over existing formats. TIFF would be a decent solution to that problem. ... And the fact that FireFox has marked TIFF support as WONTFIX is actually pretty indicative of how unlikely they are to support a new format such as FLIF. Sad but true. From what I already see of the FireFox support thread for FLIF, its not going to happen any time soon.
Why not TIFF? 30 years old, already built into nearly every graphics application, supports everything this proposes and more. Plus it is already supported in Safari.
https://en.wikipedia.org/wiki/Tagged_Image_File_Format