The instance seems to be mostly right wing trolls. I know defederating is unpopular but I don’t think much is to be lost in this case and it can save the mods some headaches.
Edit: the response on exploding-heads.com to my reporting of transphobia. Courtesy of the “second in command”
Exploding Heads have between 40-60 active users, you probably noticed two posters you find disagreeable.
Have you considered blocking the users or communities you find offensive?
If nothing else, this should count as a wakeup call to the exploding-heads admins, that if these are just outlier users they should probably be reigned in. If there is pressure to defed now, it will only increase if nothing changes. If the instance won’t manage its users, that’s precisely why they will get defederated.