The wear you may see on he paint will be more of dulling the shinethan removing paint. The Tangle doesn't move much so there isn't a lot of wear. But if you are really worried, you can put clear "helicopter tape" or similar under the straps (I think Revelate even sells that tape. Or at least they used to)

As for bottle clearance, it will depend on the frame. I use a side loader cage on mine when I have the Tangle on.