Silverblue and Virtualization

No. Silverblue is the GNOME variant. Fedora Atomic Desktops is the whole name.

UBlue and blue-build (which is not a system but a building tool) are downstream variants, not officially made by Fedora.

Rpm-ostree updates are only efficient when not layering packages, so I agree there should be image variants. This would at least double the image build efforts but that may be fine