The engine in stock form is equipped with a rev limiter. You didn't lock it up because you redlined it. If that was the case, engines would lock up on a daily basis. It locked up because the N63 engine is a piece of crap, and it likes to spin rod bearings, as well as consume oil.
It is not possible to over-rev a BMW engine in an automatic, or even a manual trans. The only way to "money shift" is with a manual transmission, and downshift into the wrong gear at speeds way in excess of what that gear is capable of.
I hope your shop is experienced, capable, and well trained. I've seen so many of these engines be replaced at a non-competent shop, and they never run right again.
ASE and BMW Master Certified Technician
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