No, it says it right there in the ad you posted, the point of blocking your peripheral vision was to remove distractions, keep other people from blocking your view, not make you think you were in another reality. Again, I'm not talking about graphic quality, maybe you don't understand what I mean by 2D tile-based graphics: those graphics are designed to make Super Mario Bros., not Super Mario Galaxy or Mario 64. The graphics have no changing perspective, aren't 3D in that sense. Again, do you consider the Nintendo 3DS a virtual reality device? If not, then you wouldn't consider the Virtual Boy one, because they are the same thing, devices meant to display 2D gaming in stereoscopic 3D, only more so in the case of VB because at least the 3DS is capable of 3D vector graphics with changing perspective as the camera moves.
Read that ad you posted, it's all about stereoscopic 3D, nothing about 3D worlds, virtual reality, thinking you are somewhere else or in the game. Virtual Boy is not a VR headset without tracking, that's just a moronic statement,