Why basement wall insulation is different
An above-grade wall dries in both directions. A foundation wall can only dry inward, so whatever sits against it has to tolerate being damp without holding water.
That rules out a fibreglass batt pressed straight against block. Warm indoor air reaches the cold masonry, condenses inside the insulation, and the batt holds that water against the wall through the whole summer. It is the classic basement mistake and it is still being installed.