Help me address my mother's sketchy electrical outlet

https://imgur.com/nZc2RIV

I am home for the holidays and was appreciating the new appliances in the kitchen when I noticed the sketchy way she has the new fridge plugged in.

The wiring is old and many outlets don't have a 3rd-prong ground receptacle. She has the fridge plugged into a 2-prong with an adapter and this wire sticking out? I don't know what is going on, but it looks dangerous and like a potential fire hazard and I am hoping someone here as wisdom to share and can tell me how much I am over-, or more likely under-reacting...

At a minimum, it looks like this wire should be grounded to something rather than dangling in space?