I think individual instances should take whatever stance they want. If you don't like it, you can choose a different instance. And if you DO prefer a space without bigots (as most people do), you can use an instance which takes a hard stance against bigotry.
I personally couldn't engage long-term with any instance which doesn't stamp out bigotry. There's no reason to expose myself to bile like that on the regular.
I think individual instances should take whatever stance they want. If you don't like it, you can choose a different instance. And if you DO prefer a space without bigots (as most people do), you can use an instance which takes a hard stance against bigotry.
I personally couldn't engage long-term with any instance which doesn't stamp out bigotry. There's no reason to expose myself to bile like that on the regular.