The setting is not enabled by default. Also, the * hopefully reminds people that they didn't tag that specific account and that the same username on a different instance may represent two different people.

EDIT: Perhaps I should clarify that like user notes on Piefed, the ones in Connect are account specific. So different people don't see one another's tags. Though it's more app-specific in that your tags will be global, if you enable the option, across accounts on the app. So if I tag on Lemmy, I will see that tag if I'm on my Piefed account.

I would like to see an app or platform tackle something like this since I would like to see tagging functionality expanded. But unless an interested party develops something, I don't think we'll be seeing it anytime soon.

The feature would be for any post you comment on.

The preview option exists but not everyone uses it and sometimes one can forget to use it.

Oh, I didn't know the Piefed import did blocks as well. I thought it was just subscriptions. I think I forwent the initial prompt at onboarding cause I thought it was just subscriptions. Just tried the import on mobile and hopefully it's all of it is updated soon.