> seems a bit like splitting hairs.
It isn't splitting hairs. It's outright propaganda invented to justify stealing native land. The idea being if natives had no sense of property, we didn't really steal anything from them because they had no property to begin with.
The other trope justifying theft of the land is of the "dumb indians" who sold the land for cheap. Like indians selling manhattan for a handful of beads.
I don't think that's accurate. The historic colonizers fully understood that native Americans had a sense of property, which is why even the most blatant land grabs were almost always justified by a forced sale or treaty. I've only ever heard the idea that natives didn't own land from people promoting the myth of the noble savage.