My understanding is that Steam already ships with a static Linux runtime compatible with most distros. Is this insufficient in terms of the library compatibility you're talking about?
This is probably one of the worst "linux" ideas from valve, and by very far. This is basically the definition of accute "enshitification", which could be tainted with abuse of dominant position.
I did show how to do all that honestly and 'correctly' in my previous post. This is basically software development 101 for ELF based platforms...
As I pointed out, the real core of the issue is ELF which we know now is completely obsolete on modern hardware architectures for CPU exes and dynamic libraries and more of a kludge/bloat and issue generator than anything else (like microsoft PE+).
In hindsight it seems like a fair compromise to avoid developers having to support every distro & distros having to support every developer, but it's actually mandatory (developers can't even choose to do this) which sucks. Factorio recently wrote about how they're forced to use it despite being statically linked: https://factorio.com/blog/post/fff-446
> Because we statically link our dependencies, we don't require steamrt in order for the game to run, but Steam does not allow games to opt out
That sucks, not gonna lie.