It would be a tool that can be used as an axe, a pickaxe, and a shovel. However, for this convenience, you lose a certain level of mining efficiency. I don't know for sure what is reasonable, but it should be like 5% or 10% slower than the tool it replaces in mining a particular block. Enough slower to make a difference over time and to maybe be noticeably slower, but not enough to be annoyingly slower. It mines slower than the tool it is replacing because it is a clumsy tool designed to do everything but to do nothing well.
It would retain the side functionality of the shovel to turn grass into path blocks and of the axe to strip bark.
Here is a mockup of what it could look like:

It would be crafted by combining the three tools in a crafting table, so it would cost as many materials as an axe, a pickaxe, and a shovel.
It should be able to get the enchantments Efficiency, Fortune, Silk Touch, and Unbreaking though the enchanting table. It should also be enchantable with Mending through the anvil. (It would also be able to get the treasure enchantment Proliferation if it is added)
It would be exceptionally ineffective as a weapon. Perhaps 1 damage point for wood, gold, and stone, 2 for iron, and 3 for diamond, and that might be too high. It would have an abysmal attack speed because it is so clumsy to use.
I'm not sure how much durability it should have. Two options that come to mind are 1/2 or 2/3 of the combined durability of the items used to create it. Having the same durability as the base items seems too weak considering the amount of material needed to craft it, but simply combining the durability seems too much.
It would be extremely useful while building, as you would not have to worry about which tool you need to grab to break a particular block (unless you're building with wool) and would free up more hotbar space for building materials. However, it would be a choice of hotbar convenience vs mining speed for anyone making the choice to use it.
Personally, I would go caving with a sword, a Fortune III diamond pick, and a Silk Touch diamond multitool as my hotbar tools. This would free up hotbar space for other useful caving items like a water bucket, an empty bucket, and blocks.
I would still have normal tools dedicated for mining out large areas because of the decreased mining efficiency of the multitool.
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