I've had multiple conversations about liberalism and come to realize there's a multitude of definitions none of which make complete sense. A left-wing definition might be "liberal democratic capitalism" like most of Europe is, with neoliberal being a more right-wing version of that like the US. A right-winger might use liberal to mean someone culturally progressive. Sometimes liberal is used to mean someone who wants a smaller government, sometimes it is confused with libertarianism (which was originally left-wing but co-opted by free market capitalists).
I don't think the term "liberal" is useful anymore, it's mostly thrown around towards people you perceive to be the status quo.
I see only OP calling for defedding instances that don't defed Meta. Fedipact https://fedipact.online/ makes no mention, never seen it on Mastodon. I think the flamewar should be toned down a little.