can't find anything on "morphine", but animation blending is something that Unity/Unreal/etc had for a while. Although, I don't think any publicly available engine solves this like Ubisoft ML models do. Usually it requires at lot of work to look seamless
The demo was a blender-like environment, with opaque white human models. You could shoot arrows at them, bullets, switch between poses and animations or set up obstacles to watch them react realistically and tumble around.