Turns out, it's worse than this: The ipv6-literal.net shenanigans aren't limited to UNC paths.
It works in all places:
> ping 2a0e-3c0--21.ipv6-literal.net
Pinging 2a0e:3c0::21 with 32 bytes of data:
Also works in browsers: http://2a0e-3c0--21.ipv6-literal.net/
Thanks to Christian Berger DECT 2763 (npub1a09…pult) for asking.