I think Marvin is great. However, imo, Hyphen differs quite a bit, and offers a more - deeper customization options, Goodreads integration, ADE pages, metadata lookup, emphasis on speed and ease, and so on.
Take the free version for a spin and let me know what you think.
I like the Knuth/Plass technique as well, it creates much more uniform and visually appeasing line margins. The reason something like it would be so difficult to implement is that it requires heavy geometric processing every time the content reflows, which would impact Hyphen's performance a lot. Another issue I see is that it would pollute an ePub's DOM more than I'd care for.
Yikes. Is that an iPad Pro? If you could share more details that would be great. There's also the issue tracker you may be interested in: https://github.com/hyphen-reader/hyphen/issues
About CJK, at first I think there need to be a proper support for vertical writing layout and support for turning pages from right-to-left[1].
Hyphen currently seems to be handling vertical writing quite fine (but it is using default sans-serif font, which is less than ideal.) However page turning currently seems to be strictly left-to-right.
One of few apps I've seen to be doing well is Kindle (but unfortunately not ePub) and Bookwalker (has their own file format, although also has partial support for reading ePub file). My current solution for reading Japanese ePub books is to throw them into Bookwalker… which is kinda like second-class citizen in the app.
There are few public domain Japanese novels available in ePub3 format if you wish to have some sample (http://aozora.wook.jp/ click on "ePUBダウンロード".)