As long as you get a public IP address, a domain name and TLS certificate, you can federate with other servers.

I run mine in a small Hetzner box. Two gigabytes of RAM, two AMD cores, it’s almost like doing nothing even I’m federating a ton of messages all the time regarding the logs.

I hope some of the great Reddit apps switch to Lemmy. I would definitely pay for a Lemmy version of RIF any time. That’s what happened at least with some famous Twitter apps, which now support Mastodon/Akkoma/Calckey.