I'm not saying this has anything to do with replacing reddit but it is bad for the larger threadiverse community. Notably there were several other instances that closed registration for the purposes of not growing quicker than they could handle long term (see lemmy.ml). Beehaw has most of the largest (and therefore defacto default) communities. Active steps to avoid that would have allowed them to maintain their moderation goals while growing in an organic and sustainable way that benefits the larger threadiverse community.