I tried digging on the web to get my question answered. I found some documents related to Project DaVinci. This is tagged to the JSR 292 which is related to including closures in the JVM. Did this project get realized and is it a part of Java 8?
As far as I know Java 8 does not have tail call optimization. Afaik it isn't related to the actual compiler trick, because that one is simple, but to preserve a callstack for security purposes. But I guess it would be possible with a bytecode rewriter.