Doesn’t running a local instance mean your activity is tied to your API key and your IP address?
If that’s the case, I feel like browsing old.reddit behind a VPN is more private and less fuss (though I’m willing to be proven wrong!)
Edit: from Libreddit’s Public Instances are Shutting Down #840:
Their new limits mean the project would only work for small instances and who authenticate using OAuth, effectively voiding any privacy benefits of using Libreddit.
When we had the Black Summer bushfires of 2019-20 in Australia we were recommended to stock up on P2 (local equivalent to N95) masks for the smoke, and we never expected we’d end up using them for a completely different reason only a few months later