Instances are worthless, what has value are the /c/ and absolutely nothing in the Lemmy model protects communities from the admin of the instance where it was created to go full Elon. I bet that at some point it will happen.
Most of the time you don’t even know who is running the instance. Suffice that one of them that’s running a large enough communities needs a bit of cash and decide to sell it. Or they could be in bed/owned by any intelligence agency/corporation/political party. Who knows.
I’ve spend a year in my lost time musing on the design of a truly decentralised model where identity, community, curation (moderation) and distribution are entirely decorrelated to address those specific issue among all the othes, including the one you mentioned. It’s complex, it’s a big task, but I don’t think it’s impossible. I’m too lazy to code it though :D
Good luck getting an edit to stick when you’re doing it privately on a high traffic or political page. Wikipedia is known to have an entrenched little clique that works hard at gatekeeping.