6rd works on similar principles, but in a way that plays more nicely with ISP routing and traffic management policies. The main user-visible change is that a variable-length, ISP-specific prefix is used instead of 2002::/16.
There are a few other transition mechanisms and embeddings of the IPv4 address space, for example the ::a.b.c.d address format. They all suffer from the fact that two-way communication without a proxy requires each endpoint to be capable of representing the full address of its peer. For a node which does not have a public IPv4 address to communicate with a node which does not understand larger addresses, some third node must exist in between to perform protocol translation.
Applications would still need to change, but apps change a lot faster than ISPs.
6to4 died because it was never the primary mode of addressing. Performance between 2002::/16 and the rest of IPv6 relied on anycast, which was unpredictable and therefore useless for real traffic.
6rd, fortunately, has none of these drawbacks, though it does require support from the ISPs.
But it's technically quite ugly, and tunnelling/MTU-related problems would be more prevalent.