this post was submitted on 12 Jun 2023
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The instance's hosting country's law applies to the instance and the communities it hosts.
Displaying illegal content from the fediverse is fine?
Its a bit complicated. EFF has a good post from a US perspective https://www.eff.org/deeplinks/2022/12/user-generated-content-and-fediverse-legal-primer . My understanding for US instances (and IANAL), is that if you have a TOS banning illegal content, register for a DMCA agent, and remove illegal content in a reasonably fast timeframe when you have knowledge of it, and ban repeat offenders, you should be okay.