An interesting proposal - using password resets and one-time tokens to login. Not sure I'm onboard with this particular approach to solving the password problem, but I agree that passwords need to go.
As I've been resetting passwords all week, I'm just amazed that the state of the industry is so terrible. Many sites still send passwords in the clear (in 2014!), many have horrible UI that make it far too difficult to find the password reset screen, some don't let you reset passwords or delete your account, some require you to email a human to do that, many have silly length and character set limits (which suggests they're not following best practices for handling passwords in the first place), and several have cutesy web UIs that interact poorly with password managers.
Stop the insanity. This doesn't scale.