Regard it as an intermediate representation (IR) of your code, a stage between your readable source code and browser bytecode/jit.
The "shit" is still readable since webpack also generates source maps.
Terser transforms non-global identifiers lexically and does some simple substitutions.
Normally you want to bundle modules with their dependencies anyway, maybe transpile code... Then why not minify?
Et voila, some completely unreadable shit.
Take it one step further: hire sufficiently terrible spaghetti coders that nobody, not you or even they know what the code does, and any hacker trying to make sense of it will feel ill.
reversing is one of the few classic skills from the home computing era that is alive and well in 2022. it's kind of nice.