Fungible just means interchangeable for equal value, not indistinguishable. For example, a crisp one dollar fiat cuckcoin and a dirty house of ill repute spattered one dollar Fiat cuckcoin are interchangeable but NOT indistinguishable.
I agree Fediment is early days and could have issues. But the best and the brightest are working on things we aren’t even aware of yet. Privacy will happen.
What we needed all along was the rock solid bedrock of ₿itcoin to build on. That’s all I’m really saying. Monero, like all shitcoins, is a distraction.