Came across the article that there is no restriction in any file extension in the SPO https://support.microsoft.com/en-us/office/types-of-files-that-cannot-be-added-to-a-list-or-library-30be234d-e551-4c2a-8de8-f8546ffbf5b3
No restrictions to types of files added to SharePoint
but we can restrict it using Sync Client https://learn.microsoft.com/en-us/onedrive/block-file-types
Is there any alternative way to control upload to the OneDrive Site when user clicks on the upload option.
Unfortunately, there is no OOB ways to restrict specific file extensions in SharePoint Online. You can create a workflow that start automatically when an item is created. and use "delete List Item" action when the file type is equal to relevant type.
Here is a similar post for your reference: