Notes:

Unreal Engine allows to define multi-layered detail textures for any type of material, usually wood, stone,metal, skin, etc. and apply it to all the textures. The closer you get to the surface, the more layers are added, and the surface remains fairly detailed even under extreme magnification, that can not be done by conventional means in the regular gameplay process.

Not present in the original release of Unreal, this feature was introduced via patch a year later.

This technique exists for over 17 years now, yet In many high-profile "modern" games (Like Fallout 4, COD and even some UnrealEngine 3 games not released by Epic) I still see the soapy blur when I get close to a wall. What is it if not lazyness?