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How do upvotes / algos work across federated instances?

I've joined a few instances to try and get a sense of communities but noticed that the "front page" of each community, when selecting "all", shows dramatically different front pages. Is it because the front page of each instance is based on the upvotes/downvotes of the specific community instance, and upvotes/downvotes to "grade" content aren't shared across instances?

Also, when looking for communities and choosing "all", the ranking of instances is dramatically different (I believe this is because the sorting is based on number of subscribers in the specific instance?)

Any other guidance would be helpful! I was initially thinking of choosing a smaller instance but given all of the above wondering if I'm better off with a larger one (lemmy.world, etc.) so that I can "see" more content?

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