I'm pretty sure that's not what Section 230 says - in fact, the opposite, which is that reddit cannot be held responsible for the content on the site, even if reddit employees are moderating content. Sounds to me more like reddit trying to spin a false narrative (if that in fact is what they've said) to take advantage of free labor.
i mean also given that reddit has actually picked moderators on subs that need it in the past (like /r/redditrequest exists), i'm pretty sure this is just made up
