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Additional Posts in All things points
Is Marriott doing this?

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There isn't one. If Chase gets you to give up a point for $0.01, that's a great deal for them. Market the same bad option multiple ways and you'll probably get more takers.
Gas and grocery are currently +25% for csr, if there was no bonus then yes same as cash redemption, which would indicate they plan to remove or nerf cash redemption
Or they plan to make it worse. At Walmart checkouts, I get the option to redeem 1250 Citi Thank You points for $10 off my bill.