Dear Nemesis,
Your seedlings are dying because of a combination of moisture and wrong soil.
Especially the soil seems to be to organic. i would use a combination of peatless potting soil (25%),
coarse sand (75&) and fine grit (1-3 mm diameter) (25%).
Also cover your seeds with a thin layer of this grit. It gives the seedlings a firm grip and it prevents damping off.
After germination, which is usually within 2 weeks with lophophora species, wait another two weeks and slowly increase ventilation.
Let me know if you have any further questions.