The footage you have provided uses a vertex color blend method.
it's the same method used by most terrain systems.
you have to first have a custom shader that blends textures based on vertex colors
(u may find a couple of them via the internet or easily make one with node based shader editors like:
Amplify shader editor(paid), Unity's builtin Shader graph(Free, get it through package manager -still in beta phase-), or shader forge(Free, open source -works on older unity versions like 2017-)).
Then you have to paint on vertex color values via a script or just use some assets from the asset store.
Unity has a built-in tool called Polybrush, it's a multifunctional tool capable of both painting vertex colors and offsetting their position for sculpting meshes.
Get Polybrush
as it may be complex for the sake of reverse engineering there is a simpler tool you can take a look at:
Get TOZ vertex painter
and it's free too.
have a nice day!