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Whatever helps you get things done is what you should do : )
There's no right or wrong way to use OF.

I use OF so obviously I don't agree with him on this point ,but if you go back and read a lot of David Allen's past writings [newsletter and forum postings] he and pretty much everyone at Davidco [those that post on the subject ] , don't seem to like " nesting " for projects and or tasks.

Those individuals that belong to the "GTD police " [trust me they exist ] would tell you that projects should be a simple list and not a container or link to actions like omnifocus and things and hit list and lots of other programs do .

but this works for me , and I get things done .. and that's the whole point : )