Files are directional. A stone or appropriate size burr is what you need for a rotary tool.I suppose it is worth a try. I think I saw a similar video where they cut the tang off the file and make something to stabilize the other end.
Certainly a file could be designed differently for this application. Using the file in a conventional way would seem to push the shavings out more than this. There are stones, diamond, and likely carbide cutters for the Dremel type 30,000 rpm battery rotary tools.
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