It firsted seemed like another useless service for minnows, however I see some merit.
You might argue that you are making low quality follows, but I guess that is a matter of perspective.
I don't think this solves the quality followers issue, however it's a good step.
I think this might evolve in something good, or atleast breeds other good services.
Got to be honest, I was a bit mad at the start that almost blinded me into understanding the content.
You didn't disappoint Lexi :P
I felt much the same as you did. Also, exchange is an awkward word. In this case, they actually mean "an exchange", like a marketplace. Not to exchange votes/followers back and forth.
To be honest, I think the follower exchange is the far less valuable part. The vote "exchange" is very cool. You basically get free passive promotion by appearing in the feed for being generous to other users with your vote. You rarely actually get voted back by the same users you vote for, because they don't see you or even get a notification. They'd have to check their post or Steemd to even see it. It's not quid pro quo, it's a positive-sum gain for the users that are on the service.
I hope Steemit communities can bring similar types of advantages when they go live.