If everyone was spread out onto different instances, and communities were based all over the fediverse, the decisions of one instance would be less impactful.
Think we need universal/transferrable accounts to make this happen. People, myself included will be concerned that if they sign up to a tiny instance someone's hosting on a raspberry pi or something that it'll just disappear without a trace one day and their account along with it
If accounts were made portable I think a lot more people would disperse