Yes, VDO is transparent for the layers above, like filesystems. XFS+VDO might be preferable to BTRFS, if it has the features you need.
- LVM could be used for snapshots, but the snapshots from BTRFS might be preferable in corner cases where many snapshots are done (snapshots in XFS are being worked on AFAIK, these could then be comparable)
- XFS+VDO combination might be more reliable, it's a completely supported combination on RHEL, whereas BTRFS is just techpreview
- only missing feature coming to mind is checksums over data blocks, XFS is only providing checksums over meta data