You can update your version of Fedora through the updater software as well but it's a very clear separate process that is initiated manually.
Distro version updates bring major updates to key packages - the one you'd notice most would be to Gnome, the desktop environment. There will be other things too that get only bugfix and security updates during the life of that version, and then after a while that version will lose support and you won't get any updates at all (https://docs.fedoraproject.org/en-US/releases/lifecycle/).
Updating is very safe and reliable. I've had my Fedora install at work for 3 years, updating periodically and it's working extremely well.
I think the whole "no life mods" thing got a bit overblown. Reddit communities flourished generally due to the ones that had good active moderation. Setting a consistent theme and tone for the subreddit and keeping the bad actors out. It takes a lot of work, they did it for free and we benefited.
The issue is when some people are mods for tons of major communities. That's when it is overreaching.