It’s called no enchantment cap,link: https://www.curseforge.com/minecraft/mc-mods/no-enchant-cap
No, it modifies gameplay features that could potentially give you an unfair advantage over others. The goal of allowing speedrunning mods is usually to improve performance while still keeping the overall experience as vanilla as possible (or just add convenience, like the timer mode to make timing easier). That's far from being the goal of the mod you are proposing.
No, this mod is not allowed in the speedrun. If you are a minecraft player, try Jenny Mod in minecraft
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(1.6.4-1.15.2 & 1.16.5-1.21.4) Atum 1.3.1: Shows starting difficulty in F3 in 1.16.5+, removes formatting sequences in hotkey names in 1.7-1.8.9 (will reset hotkeys), ports to 1.13(.0) and 1.20.1
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(1.17-1.21.4) Planfolia 1.2.0: Cleans up Sodium debug text, port to