Sure. Iroh facilitates local storage and direct device to device encrypted connections. So basically, it allows you to store your online data on your own devices, encrypted with a secure key, that can be sent to a variety of different end points.
So for example, you import your mastodon profile, it downloads that data to a local vault, and the vault can then be viewed on any other platform that is able to visit your profile. So if a user signs up to the proposed Bytescape platform using a bluesky account, they could search for your mastodon handle, view your posts, and even be updated of your content, thanks to the Iroh syncing of the users local master vault and the cloud storage for their social accounts. This could be shared either through cloud relays for reliability, or you could retrieve it directly from the users local vault via direct p2p connections.
This would definitely integrate with data migration tools of all sorts, it already works with meta and bluesky data export/access systems. Activitypub is next on the list. I'd like it to be as seamless as possible, something like an oAuth login. It would be especially useful in cases where users want to move to a totally local storage solution. The goal is not to replace existing platforms per se, but to give users the ability to have a complete locally available copy of their data at all times. Whether that data is mirrored or distributed elsewhere on the web is ultimately up to the user.
With regard to displaying defederated content, this would put that choice in the hands of the user as well. It should take the headache out of seeing the content you want to see, but should also obviously have some level of moderation and safety in place at a basic level.