Yea they mention in the video, but don't mention what happens with a higher aspect ratio. I suspect it will cause artifacts, like part of one frame appearing on the previous or tearing or other distortions.

Remember these sensors read a single row at a time. There's a Smarter Every Day video where they show how cellphones get those weird effects when recording plane propellers due to the way they scan images.

Yes, for objects moving with high speed vertically, rolling shutter capturing produces weird frames. But v1 camera can do "global external shutter" as well. See examples on "extreme rolling/global external" shutter for propellers here: https://github.com/Hermann-SW/Raspberry_camera_gallery/blob/...