Basically an instance is a single installation in short. So a WordPress instance is a single installation of WordPress.
instance
ˈɪnst(ə)ns/Submit
noun
1.
an example or single occurrence of something.
synonyms: example, occasion, occurrence, case, representative case, typical case, case in point, illustration, specimen, sample, exemplar, exemplification
“there was not a single instance of religious persecution”
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