Sounds kinda like gVisor more than Unikraft? With a maybe-faster intercept path?

That was my first thought. I think adoption will increase if projects will have a clear FAQ about prior / related work, and not leave this to the reader (human or AI) to figure out.

I think it's a kind of like both? it runs as its own guest, but instead of implementing syscalls that are 1:1 with linux, it looks like linux runs as a library, and uses a different more pared down set to take a normal sys call path to the guest. so my guess is not cheaper at all, since instead of the gvisor syscall->vmexit for the common path, its maybe process->sys call to guest->vmexit to hypervisor.