Des- You're not the 1st person to bring this up, BTW. I've seen that link on the hydrostatic paradox a few times before. It's from a very old scuba website, not a DIY fish tank building forum. The fact is, the longer the tank is, the more deflection there will be, so more reinforcement will be needed on the sides, not just the top. Think about how a boat frame is built and how it has all those ribs. A huge tank may also need to be crush resistant. If a person needs to climb inside the tank, the walls better be strong enough to hold that person up at any given point. Plywood alone would have too much give, and the sealant would be more prone to cracking.
Also ask how much damage the water and broken glass can cause if the tank had a catastrophic failure? So you need to consider safety factors also. Small tanks, under 20 gallons, probably only need a safety factor of about 2. A larger 200 gallon tank should have a safety factor of 4. A monster tank or public aquarium, above 2000 gallons, should have a safety factor of at least 10. Above ground swimming pools, don't need high safety factors like fish tanks do because they are not indoors with the potential to destroy a home.
There are some other advantages of stacking lumber, like VLDesigns has, also. The extra thickness of wood acts as an insulator for heat. It also dampens sound and vibrations. So I think it's pretty good idea, since it is more energy efficient and makes the fish more comfortable.