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How can you explain the Fediverse to someone?
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You know how with SMS and emails, there are many different providers, but anybody can talk to anybody as long as you both have a number/address - that's essentially how it works on the Fediverse.
Rather than one big server controlling everything (i.e. Twitter, Reddit), you have many smaller servers ("instances") ran by different people talking to one another to form the wider network.
You sign up to an "instance" (like an email provider or phone carrier), and then they provide you an address you can use to communicate with other servers/instances your host is connected/"federated" to.