Steam has died its final death on Windows 7 and 8: Nearly a year after Valve ended support, new Steam updates will no longer function on the ancient OSes
Personally, I dislike that Nobara is relying on patched Mesa and kernel versions. This is unnecessary risk of instability. AFAIK Bazzite doesn't do that.
Friendly Reminder: You can install any KDE based Linux distribution and probably have an equivalent or better experience with security and regular steam updates.
Compatibility isn't really an excuse in this case, as Windows 7/8 will no longer be compatible with the most troubling games anyway. You'd be best off on a modern system with proper security patches.