Fedora 38 beta now has the option to use icons in the file picker. This works in Gnome 4.4 with GTK 4.4. This is a big change from the old style of file picker that is a running meme now. This requires a tweak in the configuration of the Firefox browser, but this is easy.
Change the value of the widget.use-xdg-desktop-portal.file-picker entry in the about:config to 1. This will enable the new file picker in Firefox. This is a bit buggy at the moment, but it does work well. The actual thumbnails do not refresh when viewing the folder in the file picker. But this will be fixed before the full release of Fedora 38 I hope. But this is a step in the right direction. Download the Fedora 38 beta to try this out for yourself.