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This supposedly counts as an NRS device (Not Rifle or Shotgun) because it's straight cut lands/grooves.  The video says the ATF currently lists this as OK.  I fully expect this to be banned in CA about 3 seconds after it goes on sale. 
The reason why this is even worth posting about is because of the NRS designation, you can skirt tax stamps and other firearms laws and basically have a short barreled rifle (or pistol as some people already do this) without any paperwork or issues.  They do mention it's not the most accurate thing with off the shelf ammo, but that they're "specially developed" ammo improves the accuracy dramatically.

 

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So the barrel is neither smoothbore nor rifled..... and accuracy supposedly not terrible..... 4 MOA at 100yd.... ehrr.... I'm a little skeptical it can even do that well..... bullet fins ahahahahahhaha

It's neat but.... I'm not even sure I would really want one....

Also yes CA ban in 5.. 4.. 3.. 2..

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On the one hand I appreciate the ingenuity involved in coming up with something like that.  On the other hand, it really only shows the gaps in our legislation and the poor position this puts governing agencies like the ATF in. 
The ATF has to read the law as best they can, which leads to weird shit like this slipping through. 

I assume someone will advertise this as an option for home defense since 4moa isn't a big deal at closer ranges.  Also the smaller overall length would probably provide better handling as a smg/pdw style firearm.  Then again it's chambered in .300blk and 5.56 lol...

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