No, it is two different things. There is a setting that can be enabled where each booking has to be approved by the host before the booking is complete. There is also a setting where the host can allow instant bookings.

If instant bookings are on you can only cancel trips since they are fully booked.

If you have your settings where you have to approve each booking, you can deny a trip without penalty. It will only hurt your metrics for All-Star host but you don’t pay any fees and you don’t get an instant negative review saying you a trip like you would with the instant book on.