Earlier quoted context omitted.
So attackers cannot password spray. This is typically after attackers has gotten access to the latest database breach, and are just blindly trying username/password combinations. A simple ratelimit takes care of that. Plus, it's not like attackers would be easily defeated by a CAPTCHA anyway --- there are services selling batches of valid tokens, likely generated by actual humans or very close emulations thereof, for…
Rate limit by what? IP? Botnet traffic will originate at random IPs.
This should waste less time than reCAPTCHAs. I know it's not 1:1 in terms of pros/cons, but it gets a good subset of the advantages without the key disadvantages mentioned above.