There's nothing wrong with a healthy suspicion regarding something like this. However, it seems like people are taking it a bit too far.
For the 2:52 part in the video: I watched it over and over and over again. At first glance it looks like 2 discs, but after watching the disc along with the motion of the fingers, I think it's more likely that the grip was bad, so the game angled back, then was adjusted quickly. The low frame rate/resolution of the camera doesn't help this matter, but I don't think it's fishy in that regard.
The only thing that struck me as odd about the video is the RoL/powering on and off of the console. Granted, I don't have a new model, but it seemed like the timing just is off a bit. However, after checking my 360's timing with that in the video, things seemed to sync up exactly like happens with my Jasper.
Regardless of my personal feelings toward C4E, Team Xecuter and company, I do respect the work that's being done and don't doubt the abilities exist to bring these sorts of things to completion. Given that, I am going to withhold judgement on the matter until something more concrete is presented.