No, previous version (Fennec) didn't have this limitation...
I tend to find Firefox Focus preferable on mobile anyway.
My reason is mostly the above (and other related security reasons). In particular the ability to clean sessions, cookies etc. just by hitting the trash can next to the URL bar.
Secondary reason is on a small screen usability. The simpler the better. Firefox Focus is simple, minimal settings, and of course quick and easy to reset sessions.
edit: defending this a bit since it seems the negativity isn't warranted. The build that broke extensions and rearranged the entire UI was pushed as an automatic update with no warning. The last update on the AMO blog about this state of affairs is from 8 months ago. This was a huge breakage done without warning and nothing seems to have been done to resolve it in the interim.
If you're just tuning in, addons were about 80% the reason to use Firefox on mobile at all. Now there is a committee to approve which extensions are permitted on mobile to "protect the experience", when previously open ended access to extensions literally was the entire experience.