For a mild climate where the house very rarely needs to be heated, it sounds like a good general concept. I think it would work better if the riser and the water tank were in the same bigger enclosure. This would give more overall thermal mass to temper the water, and take care of both the need to insulate the riser and protect it from external damage, and make the whole thing look neat (if that matters at all to you).
Your depiction of the water tank entirely inside the bell is problematic, as it exposes the connecting pipes to high heat. For safety and simplicity, I would suggest embedding the tank in the cavity with its top exposed (and insulated), so all piping connections can be accessible and not overheated. (There was a
thread here a few years ago by someone in Germany who built a beautiful and well-engineered system like this, inside his house, but I haven't been able to find the thread to share now.) A glycol or oil solution in the tank will let the tank get hotter than boiling water, leading to possible steam explosions or venting. The safest method that has been found is to use plain water, open to atmosphere, in the tank, with pressurized water in tubing coils in that. The tank will never get as hot as the boiling point of pressurized water.