Thanks all. I've had the boards neatly spaced for a couple months air-drying covered outside in the damp PNW air, but I guess still better than in a puddle. Looking forward to seeing them up on the walls and will share how it goes eventually.
I know the pieces will shrink significantly even though cedar is relatively dimensionally stable, but is there a known amount per species/depth? I'm sure it's very complicated but curious if there is a general rule to guide expectations. Good to know it could be so much with these wide pieces.
Your suggestions confirm the idea to align them vertically, probably batten the gaps, and that it will probably work out. Excited that nobody has said I absolutely shouldn't do it, yet. I'm happy to experiment anyway.
I do really like the idea of slotted nail/screw holes to prevent cupping but allow for contraction/expansion. Of course then there's a series of big slotted holes across the wall, but maybe angling them down to prevent water flowing through would be the most simple compromise. Slotting enough holes also significantly increases the work load for each panel, so I guess the large pieces aren't as simple and fast as expected...