Just somehow stumbled across this thread and it's fascinating! I've never seen an entire batch of dwarves...
Dwarf Bettas are a very real thing and more common than you know. Sadly, it's almost always due to poor genetics or malnutrition as fry that they end up being smaller than normal (about 1.25" in body length) and most of them female. I have two on my hands as of now; a Super Red Long-Finned Female named Val and a Cambodian Long-Finned Female named Dotty. Both have the typical dwarf characteristics; 1.25" body length and long fins. They've grown up apart since I never keep females together and Val turned out especially territorial. Both are healthy w/ no health concerns!
Many dwarves live their lives normally. Sadly, a good portion of them either don't make it past 'fryhood' due to being eaten by larger fish/siblings, deformities, underlying health issues or lack of proper care. I've had great success with my dwarves (over 5) but for one known as Lemon. Poor girl had a back deformity, tail kink that squished her swim bladder, a missing upper lip, severely shortened body (she was barely 0.75"), and severe digestive issues which caused an internal infection and ultimately led to her demise only 5 months after in my care.
Overall, dwarves are becoming increasingly more common due to poor breeding practice. If you get bettas from a pet store and breed them, for instance, you have no idea how much they've been inbred. In my 8-year experience with keeping dwarves I've noticed they're more likely to start out with and/or develop undernourishment since their mouths are smaller, back deformities (or any deformity for that matter), and often a decrease in lifespan. My "favorite" was Honey, my "heart fish" with the longest fins I've ever seen on such a small girl! Her body length was 1.25", tail length was 0.75", and personality was a blast with her territoriality attacking or flaring at your fingers and such. Since then I've seen what someone called dwarves being given away on CL. I've seen some on YT (most of the people are unaware). They're common!