The diff algorithm/display is orthogonal to the data format; for example, I use the --color-words option to the git tools to use a word-oriented diff everywhere

The diff algorithm/display is orthogonal to the data format; for example, I use the --color-words option to the git tools to use a word-oriented diff everywhere. I've even seen plugins floating around online for visual image diffs in git! But again, all those tools are built for developers, and especially the ones used by git for internal purposes like for conflict resolution make some strong assumptions that don't hold for prose.