With a few minutes of googling the only reference i can find says that Tardigrades have approximately 200 neurons in their brains [1] and their dry weight is on the order of one microgram [2]. They also have a lower count of synaptic connections (from the same paper): >Thus, miniaturisation of the tardigrade nervous system is achieved largely by reducing cell numbers, neuropil branches and the number of synaptic conn…
They seem to occasionally seek the company of other tardigrades, and hug. It could be purely mechanistic stimulus response behavior, but I'd like to think they're experiencing some sort of life, and that it's mostly a good one. That second YouTube video is great!
I would assume that this feature is necessary for reproduction.