I've had my Niro for a little better than 3 months and I think I have it all figured out, but it's all quite impressive. For example, I've only driven a few times in cruise control, but having the car help with the steering is both comforting and creepy all at the same time.
My experience is different, it doesn't seem binary at all, it always seems to be reacting to the distance of objects that I am approaching, even when I'm not using cruise control. I was surprised that the Smart Regenerative System was turned off by default, but somewhere in the menus, I finally figured out how to turn it on. The blurb below is from a PDF document I downloaded from the UVO site titled Niro EV Features & Functions Guide. As I reread it again, I didn't realize that bullet point #2 has happened a few times quite by accident, but now I see the key is a very fast pull versus a slow one. This documentation doesn't speak to whether you need the Hold mode engaged to do one-pedal driving, but I suspect you might?
Brake and Hold System
The Brake and Hold System (one-pedal driving) increases the regenerative braking amount to above level 3 and enables you to come to a full stop by pulling down the left paddle.
• Pull and hold the left paddle shifter while coasting
• When the vehicle speed is above 1.9 mph, release the left paddle shifter for less than 0.5 seconds to return to the previously set level of regenerative braking
• When the vehicle speed is below 1.9 mph, the brake and hold system stops the vehicle even though the left paddle shifter is released
• While one-pedal driving is active, the driver can control the vehicle stopping position using the accelerator pedal
REMINDER: The driver's seat belt must be fastened to operate one-pedal driving.
Do not solely rely on one-pedal driving to Stop the vehicle, as it may not be able to Stop the vehicle depending on vehicle and road conditions. Pay attention to the road condition ahead and apply the brake if necessary.
Smart Regeneration System
This system automatically adjusts the regenerative braking level based on a vehicle being detected in front of the Niro EV.
Activate Smart Regeneration in the User Settings mode. AUTO will be displayed on the instrument cluster. AUTO regenerative brake adjusts regenerative braking based on the distance with the vehicle in front and its speed
Pull and hold the right paddle shifter for more than 1 second to turn on/off the automatic change of the regenerative braking
Smart Regeneration is supplemental system for the drivers convenience. Do not solely rely on this system to stop the vehicle or avoid collisions. Always cautiously look ahead to prevent unexpected or sudden situations.
For more information on regenerative braking, one-pedal driving or the Smart Regeneration System, please refer to your Owners Manual.