2) You may like Lua as a language and want to use it for general purpose programming, not necessarily embedding into host program
I will say though that the performance aspect has to be taken with a grain of salt, "native compilation" is not a meaningful improvement if every source line translates to multiple branches or vtable lookups. From my experience plain conversion of Lua to C (assuming you faithfully follow the specification, including coroutines, metatables, etc.) produces equal or slower code with rare exceptions for numerical loops. If it wasn't all AI generated I'd maybe spend time understanding this project.
This has been a long known reality of compiling dynamically typed and functional languages to native code.
As for AI, I've spent months of my free time building clx. The design and implementation are mine. It's true that I use AI to help with documentation and to debug complex issues, but that doesn't make the project AI-generated.