Do you get infractions or banned if your thread gets moved to hall of shame? I have seen ruby getting banned from it or is it just based on how stupid and offensive the thread is?

it's just based on how stupid and offensive the thread is

Depends if the thread follow the rules (but results very stupid) or is just spam/shitpost, in that case most likely you get infracted or receive a warning.

i only got banned because my thread was dumb

Yeah, it's if your thread is so dumb it needs to be publicly ridiculed.