You're 100% correct and its for reasons like this that communities were created. They allow people to create moderated communities, if they're someone that wants to create a curated space, either to keep discussions in that community on-topic, or to enforce some particular level of censorship without enforcing those censorship rules on the entire platform.
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I didn't know communities had that capability, definitely will take a closer look as I think it helps to address my concerns for growth.
BTW, there was also a recently created issue in gitlab related to this topic: https://gitlab.syncad.com/hive/hivemind/-/issues/19
yeah, i just tested this out on a test account. once you mute an account in your community that you own, that account's comments are collapsed by default.