Instagram usernames are much easier to reason about if you don't understand/care about the differences between domains, subdomains, tlds, protocols etc.
We gave people a messy solution that assumed they would care about implementation details.
I don’t know if domain names is really that much better a solution—between the messiness of protocols, subdomains, and TLDs (how many kids in school went to whitehouse.com instead of whitehouse.gov back when the former was a porn site?), they can also expire and be replaced with a domain showing very different content. Lidl recently had to recall some kids snacks because the URL was not showing what they wanted it to.
We gave people the concept of portable identity with domain names, and they rejected it for another walled garden.