If would help if you stated what phone model and which version of Android it's running.
Keep in mind that the internal storage media in any Android device is divided into several different partitions. Most are dedicated to the operating system, and only one is set up as the user data partition. You can write and re-write files continuously several times and that only affects that one user data partition. All the system partitions are left untouched and unaffected as you, the general user, have no access to those restricted system partitions. So yeah, your files and saved data get wiped but anything you had set up previously like your Google account that gets assigned to the phone during that initial process when you first got the phone will still be there.
And no, just copying a video file repeatedly isn't the optimal way to overwrite previously existing, old data stored on NAND flash storage media. Android's basic file management is more involved as far as how data gets written and read to internal storage chip. You'll have better results just using the Settings menu or Recovery Mode than just copying even a really sizable file over and over again.