When you place a piston with rails like shown in the video and power it, the rail piece breaks and glitches out when you try to mine it. It happens with both normal and sticky pistons in this configuration only. The only way to get rid of the glitched rails is to push/retract it with a piston or blow it up (as far as I've tested).
Steps to reproduce:
1. Build the exact setup shown in the video in any order (rails can be in any orientation, lever can be on any side of the block with the redstone dust).

2. Power it

3. Try to mine the rails, it breaks and glitches.

I discovered this bug when playing on a multiplayer vanilla server. Footage is from a singleplayer 1.20.2 world.