If what you say is true, please point me to where I can find the following privacy settings in the main preferences:

  network.websocket.enabled
  network.IDN_show_punycode
  dom.event.clipboardevents.enabled
  dom.storage.enabled
  dom.indexedDB.enabled
  dom.battery.enabled
  dom.enable_user_timing
  dom.enable_resource_timing
  dom.netinfo.enabled
  layout.css.visited_links_enabled
  browser.safebrowsing.phishing.enabled
  browser.safebrowsing.downloads.remote.enabled
  browser.safebrowsing.malware.enabled
  browser.send_pings
  beacon.enabled
  privacy.donottrackheader.enabled
  privacy.trackingprotection.enabled
  dom.enable_performance
  datareporting.healthreport.service.enabled
  datareporting.healthreport.uploadEnabled
  toolkit.telemetry.enabled
  toolkit.telemetry.unified
  media.peerconnection.enabled
  media.peerconnection.ice.default_address_only
  media.peerconnection.ice.no_host
  media.eme.enabled
  media.gmp-eme-adobe.enabled
  webgl.disabled
  geo.enabled
  camera.control.face_detection.enabled
  device.sensors.enabled
  security.tls.unrestricted_rc4_fallback
  security.tls.insecure_fallback_hosts.use_static_list
  security.ssl.require_safe_negotiation
  security.ssl.treat_unsafe_negotiation_as_broken

> It's right in the main browser settings, under the Privacy and Security section where one would expect settings like this to be

If you asked me "where would you go to change settings to prevent the browser from violating your privacy and infringing on your security?", then, yes, I would go to "Privacy and Security". If, however, you asked me "what would you expect to find under 'Privacy and Security'?", my answer would be that that's where I would go to protect myself from malicious websites, not from malicious browsers.

(I know that 'malicious' is quite, and almost certainly too, strong here, but the point is that I think, and am explicitly encouraged to think, of Mozilla as being on my side against the sites I visit, and I don't think it's natural to expect that I will start thinking of how I need to protect myself from Mozilla to use their products in the way that I, rather than they, intend.)