The threaded wood actually works very well. I also thought it would tear out but it does not. Tap the hole to cut the threads. Wick thin CA into the threads to harden the wood. Let it cure completely. Run the tap through to clear any excess CA.

If you ever do decide to drill out the holes and install blind nuts you should still use the nylon wing screws. Most of the kits I have seen, whether they use blind nuts or threaded wood, use a nylon screw with a big head to hold the wings. a SHCS (socket head cap screw) would need a large washer under the head to spread the load a bit.