Hi, fighting game player here. You're very right about the way we see the games: Ryu's Shoryuken isn't a stylish kung-fu uppercut, it's an attack that's invincible on startup and with a strong vertical hitbox, making it useful against jumping attacks and to beat careless attacks from the opponent, but which is easily punishable if blocked.
The essay you're referring to is written by a man named David Sirlin, and he runs a website where he talks about his ideas on game design[1]. He's perhaps most known in the community for helping to bring to light the concept of "yomi," (lit. "reading"), the process of taking actions specifically to get a grasp on your opponent's thought process and be able to predict it. To him, that's the one pure essence of fighting games (though this view is not universally held).
In fact, he's already done something like you describe. He designed a card game named, appropriately enough, Yomi[2], that attempts to bring the core of a fighting game into a card game format. Much like in fighting games, attacking beats throws, throws beat blocking, and blocking beats attacks. Hitting a player allows you to attempt to combo them, but the opponent can play cards (that may be bluffs) which can break the combo.
He did something similar with chess, calling it Chess 2, though it's much less popular than Yomi.