"Idle" at 3-4000 rpm is not good. It is better for charging the battery, I suppose, but idle should be 1200 rpm or so (I did not check the CB550 manual so it could be spec'd lower). If it's so high because it refuses to idle lower, fix that problem first.
Extended idling will absolutely overheat an air cooled CB550 engine, and it will not "shut itself off" when that happens. I don't think it would kill an engine, especially if idled (at 1200 rpm!) for 15 minutes from cold. Idling for 15 minutes after a long highway ride would be a really bad idea. running 3-4000 RPM is not "idling", and heat generation is much higher. If it's set at that speed because the idle is too lean, heat generation is again much higher.
The smoke is either steam or burning oil. When the cylinders and head overheat (not unlikely for you) the oil film on the cylinders starts to smoke, and the oil splashed around the head starts to smoke. There is a blowby vent at the very top of the engine, it's supposed to connect to the airbox so fumes are sent through the engine - that tube is often disconnected from the airbox or just removed. That's the apparent source of the smoke/steam, you can check by removing the tank.
It could also be steam. Water condenses when the engine is run cold, and it boils off when the engine heats up. That should come out the top vent and go into the airbox as well.
Your video looks like steam but I don't know for sure. Oil smoke usually comes out the exhaust as well, is it smoking? Steam also comes out the exhaust but it's pretty obviously steam - much like chimney steam it disappears into clear water vapour within a second or two except in very cold air. Actual smoke stays smoky as it blows away.