Yes, the masturbatory Progressives who deny the existence of God are the self-appointed gods of the post America milieu, and their Church of the New Groove is a DC on ‘roids.I think his point is that Liberals and Leftists are their own religion (not, as it turns out, an original idea), and that we deny the existence of God and like to masterbate?
Giles' main theme is that we liberals are tyranically silencing conservatives, but since they have God on their side, they don't have to be quiet. It's always nice to assert that people who aren't taking any risk by speaking up are in fact taking huge risks. Makes their lives seem more dramatic. Kind of like when you are a kid running around playing "cops and robbers." Of course you pretend you are in great danger from the finger and/or plastic guns you have. Makes the game more exciting ("Cops and robbers" is way more popular than "run around and point at each other"). Giles is just updating that little thrill of pretend danger for the modern age.