The whole point is to be decentralized. You can still interact with communities on other instances, so what's the point?
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I wish there was a way links could auto-resolve to the instance I’m logged in with.
I think you should more clearly define how it would work and what features you want. Then, all the technical problems will soon surface and you will see that it is not as appealing anymore.
How do you log in? How do you reconcile people with the same name? Which instance are you representing? There are tons of difficult questions that make the idea impractical.
This explains the fediverse with some examples of different instances
https://socialhub.activitypub.rocks/t/introduction-to-activitypub/508
Cause it's decentralised. Which is good.
You know you can interact with posts and users on other instances without having to login on their instance, right?