There are a lot of security problems you can categorically rule out by simply not involving a cloud. Clouds have been involved in a lot of things, because everyone was doing it, and because that's how you can collect rent, but they aren't really necessary for most use-cases.
So we could definitely get the exposure down there. We'd just have to fundamentally shift the defaults of this industry.
No, Framework had their data leaked because they stored it in the cloud with Metabase the company, which got hacked. Not because of any vulnerability on-premises.
What gets hacked all the time is the actual web app itself. Which has to be exposed to be useful.
FWIW sufficiently secured software doesn't need to be updated. Doesn't matter if it's old and unsupported if there are no vulnerabilities in it.
That said, h2o is probably far from free of at least some vulnerabilities, not to mention all the layers below it. OpenSSL for example has had some vulnerabilities, and h2o depends on it.
I'm not saying I exactly practice what I preach. h2o's definitely a choice, but realistically I doubt anything's going to happen that I really care about.