Of course. The vigorous policing is decentralized, so you can choose which community standards you would like your interactions to be guided by. There are safe spaces, there are crazy freezepeach places, and there are many places in between.
A US server may have content that is illegal in Germany, a Japanese server may have content that is illegal in the US, and an LGBTQ-friendly server may not allow subscribers from a server full of "gendercritical" people. You can pick where you feel at home, don't get ick thrown in our face, and don't get accused of ick for things that seem harmless to you.
I think you are missing the point. The fediverse is a network of servers that can host content and communicate with each other. Each server is moderated individually. Some are "policed vigorously" and some are not, some have issues with illegal content and some do not. The decentralization is inherent in the system, no matter each individual server is moderated.
And if it is policed vigorously can it still be considered 'decentralized'?