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and you end up with a single channel that gets flooded.

The idea behind federation was that you don't get single instances so large that the single sync channel gets flooded. You're meant to have more smaller instances spread out that then federate with one another like a mesh- only one copy of data needs to be sent to each instance to serve additional thousands of users without further load.

That said, realistically the fediverse needs single instances with 10-30k users to really thrive, and L.W hasn't even hit 10k actives... so there does need to be some batch improvements in the backend still.

Having the ability to "merge content" from multiple instance communities would help a lot too. People congregate on L.W both from inside and outside the instance because it's big and has the most content. But if you have multiple communities (e.g, search "memes" and see how many different memes communities there are) the others with less content get ignored. Being able to merge those from a user viewing perspective, so you would just have a "memes" group that sees federated content from all the memes communities, could reduce the need for L.W to be all encompassing.