All big fediverse instances are funded by users.
This isn't true for a lot of them if you actually take a look. Consider the top 10 instances according to https://fediverse.observer/list
- mstdn.jp, pawoo.net, mastodon.cloud are run out of pocket (by the same owner (!!!)).
- misskey.io is partially funded by ads., registrations from non-Japanese IPs were also closed shortly after the Musk takeover.
- Funding for mastodon.social and mastodon.online is co-mingled with the funding for Mastodon the software project
- baraag.net barely has the funds to secure enough capacity for the number of users it serves (registrations have been closed for the past year)
- The admin of mstdn.social was apparently short on rent this month? (!!!)
- daystorm and pravda don't count because their numbers are spoofed
- mastodon.world and mas.to can count themselves as lucky enough to be truly user-funded and (seemingly?) sustainable.
OP may not be good at phrasing things, but their concerns are completely legitimate. Almost ALL of the biggest instances are unsustainable on their own or have had to make compromises in order to stay online.
See my other comment examining where the top 10 instances by userbase get their funding from and how well they're doing
Not to mention that over the years there have been a lot of instances that have gotten into a variety of precarious situations that could have been avoided or alleviated if they had a lot more money.