instead of the client receiving and render the entire game data the client should only receive and render entities in a specific “render distance”, the region can be the camera region + some offset (can be set in game settings just like the camera) in each side. Everything outside this region can simply be ignored or even removed from memory by the player since the player has nothing to with those entities.
A option could be set dynamically by scripts or statically in entity options to whether or not render regardless of the distance in case its needed in some way. This improves performance way more in the client side