This phrase might be used when someone wants to quickly move past a topic that is based on a real occurrence. It could be that the story has some elements that are not worth delving into deeply, like a routine incident in someone's daily life that, while true, doesn't have much entertainment or shock value. So, they say 'nothing to see here' to kind of brush it off.
To better understand this statement, we need to consider the context in which it's used. If it's in a conversation where people are sharing stories, and someone says this, they might be trying to convey that the true story they are referring to is not going to be a big deal. It could be a simple, uneventful true story. For instance, if it's about a person sitting in their backyard reading a book all day. It's a true story, but not something that would cause a stir or be overly interesting. So, 'nothing to see here' is a way of indicating that.
Yes, it is. The story likely takes elements from real - life situations, perhaps crime cases or personal accounts. These real - life roots give the story its authenticity and make it more engaging. By basing it on a true story, it can also explore deeper themes related to real - world issues.