Which will you choose?

You can't guarantee better mods, those are volunteers/instance admins/staff of an instance admin and are people. There is nothing inherent to how Lemmy works that ensures that people tasked with moderating aren't power hungry or in some way a bit of a dick. There was to my understanding, a certain draw to Lemmy over Reddit in that the federated nature means the actions of some power hungry moderator on one instance won't leave you having no option but to accept their behaviour because you can just migrate to another instance to see and interact with the same content or even spin up your own instance, but that doesn't make the mods themselves any different and that's all in theory anyway. In practice there isn't currently a way to migrate user accounts from one instance to another so if your account is of value to you and you've run afoul of some ban happy mod in one community on one instance, then you'll have to make a whole new account on another instance if you want to circumvent them and interact in that same community again from another instance and in such a case if its identifiably still you, or you want to engage in the original behaviour that incurred their wrath then they'll just ban you again from your new instance because a different protocol design doesn't mean different people.