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Today is probably a fine day to mention that I've been working on a self-hostable Discordslacklike called Chatto. It's steadily moving towards feature parity with the big kids, with everything crammed into a single compact 50 MB executable that can run off the cheapest VM you can find.

It seems interesting but one question I have is that will it tackle the cross talk between different instances? I also heard of the term spaces being used. Can you clarify what that means?

There is no cross-instance federation planned for this (on purpose). I do have some ideas for some basic cross-instance features down the road, but this isn't intended to be another Matrix.