Placebo. That setting doesn’t do squat. Hasn’t done squat in over a year. Trust me, I know.
Much, and to the naked eye, no, but neither is it a placebo. You can easily verify this yourself by doing a screen recording and comparing the timestamps, but there is about a half second delay (well 0.62 on mine, but allowing for errors) between having it on fast and having it on slow.
It may not seem like much and as I say, to the naked eye, its not. But If you're a person such as myself who has nerve damage, or any other condition which causes your fingers to twitch a bit, you will actually notice a reduction in the amount of false positives.
Half a second may not be a huge delay, but to be fair, if they made it 2 seconds even we disabled types would complain, but it's enough of a change to make the difference between contextual actions opening up when you touch an icon, instead of the app opening as you'd intended.
