A Module Link type defines how the module opens in the content pane when the user clicks on it in the navigation pane1. The URL (from Arguments) link type allows you to specify a URL that opens the Application Properties page for the selected application2. The URL can include arguments that are evaluated at runtime, such as the application name or scope3.
Reference = 1: Module link types - ServiceNow Docs 2: Application properties - ServiceNow Docs 3: URL (from Arguments) - ServiceNow Docs