this post was submitted on 28 Jun 2023
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This is indeed one of the risks with lemmy and other federated, decentralized and self-hosted services. Those services are generally hosted by hobbyists, not by companies, which seemingly makes it a bit harder to evaluate if you can trust a given server or not.
But it's worth it to keep in mind that even though companies generally have a lot more resources to take care of security, there are still a lot of examples where they simply don't do that, for example to cut cost. You also have no idea who works as an admin at "socialmediacompany x". For example, there are a lot of admins working at twitter or reddit who you have never heard about (and never will hear about) who probably have access to your data.
And companies often just sell your data, an issue that you probably don't have to worry with lemmy anytime soon (hopefully).
The way I deal with that and why I don't worry very much about lemmy is to take care about what information I share. I don't care that a server admin could theoretically find out which country I'm from through my IP. I don't post sensitive information and I don't send sensitive direct messages. I use throw away e-mail addresses. I also don't plan on reading illegal content. And I don't feel attached to a specific server/lemmy instance, I don't care if my account is lost.