I don't feel like this is actually what NWOD/CofD really does. What they don't do is shoehorn IRL marginalized people into game rules and make them "classes" or "races." In some ways, I suppose you could argue this erases marginalized peoples (except they're prominently depicted in the fiction fluff) or reduces them down to "skins" that are applied to the rules as written. However, you could argue it the other way: anyone of any race, religion, creed, or gender identity can undergo the First Change, have an Awakening etc. and while the rules describe how the mechanics of their new existence work, the lore (especially in 2e) takes great pains to repeat as often as it can that to the degree that characters are aware of the mechanics, their own personal understanding of their new existence is subject to a lot of conjecture, experimentation, and has abundant room to be viewed through a specific cultural lens.
In 2e especially the core "splats" are more oriented around representing particular tropes rather than specific cultural relationships and subjectively I think that's more respectful. A particular Mage Path can represent a particular cultural understanding of witchcraft if you want it to, but you can also opt out if it feels gross.
From a meta point of view, Onyx Path's commitment to trying to have authors with an authentic claim to the cultures they're writing about do the work places restrictions on how ambitious they can be with their portrayals of diversity. As a smallish contractor working for a large imprint that is not insignificant but doesn't have the market share to throw around that a Wizards of the Coast has, there are certain...shall we say....dirty deeds going into the sausage. If you want to correctly depict a people who represent a single digit percentage of the human population, then you need a writer from that community who is interested in writing horror fiction or horror game fluff and mechanics, is willing to do it for peanuts, and preferably won't get outed later as actually just wearing [subculture] face and generally being problematic.