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So is ESO a sandbox or it is just another stupid theme park but with TES lore
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This.
It's not on rails. One of the funnest things you can do in game is just pick a direction and go exploring, just like you would in TES, and do any quests/dungeons/whatever you find along the way.
The crafting system feels very much like something you'd find in a sandbox, as does the skill system. No other game really has its build flexibility. It's what GW2 promised, but didn't deliver.
But alas, it's not full sandbox. You can fight in the Alliance War, explore Tamriel, dungeon delve, or become a renowned crafter. But you can't randomly murder npcs or pickpocket people or other things that would generally cause a lot of grief in an mmo environment. For better, or worse.
It's not a sandbox, but it's probably the least restrictive MMO I've seen since Star Wars Galaxies.