I’m not hating on this by the way, in fact I think it’s kinda funny!
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Lemmy has hard coded censorship. It can be disabled via the code, but irrc not via config. It was a large source of criticism, even 3 years ago: https://linuxreviews.org/Lemmy
It is a server config option. Lemmy.ml uses a banned word list, while other instances don’t. The words are still there and visible from instances that don’t censor.