That’s true; I tend to think of a private server hosting a single game session of 1-4 players, but I haven’t interacted with private reimplementing of large community interactions. Generally, the commercial implementation would involve many connected servers, so it’s perhaps a bit more complicated than giving a separate address in a launcher option, but becomes less of an excuse overall.
That said, while the game is alive and well, the only motivating reason for that option’s existence is to support piracy of their game. Depending on how much they care, it’s something they’d have to keep under wraps in a development folder until the day the game dies out.