What happens if the system get powered off while updating or I intentionally stop the update in the middle of the update. Is there any bad impact? If not how so.
If you manually stop the update, it should be fine.
If you power off your computer while it is updating (depending on how exactly you are doing it and when exactly it happens) it can leave your system in an undefined state, which can easily lead to it no longer booting up.
Just don’t do that, if at all possible, or be prepared to reinstall the operating system, if it comes to that.
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Its because of something just like you suggest that compels many to invest in some sort of UPS. The potential for data loss due to power issues can be a nightmare.