you need to get off your high horse and make up your mind, do you want all mods and people that enjoy them to “shove off” to the modded realm? which would require loot enabled on the modded realm or do you want everyone to play the official realm with mods because theirs no loot on the modded realm
because those are your options
also no, everyone won’t just “mod into the game the ability to have everything”, the aim of most mods and people that enjoy them is to improve the mechanics of the game or make it more challenging,
yes there might be a few outliers that would try to get loot without putting in the effort but would that really make a difference to you?