Running a function and then looking for magical side effects to effectively get multiple return values from that function sure isn't functional. And it shows in how unintuitive it is to reason about hooks and the leakiness of the whole thing.

I think it looks functional because it's only easy to reason about if you write functional code.

I suppose it tries to solve some of the same problems as OO, like related state and private transitions. But it feels like React itself is the God Object.