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Lemmy privacy
(lemmy.ml)
Welcome to /c/piracy
No netflix or streaming services landlubbers allowed, this is pirates territory.
I think what they are referring to is this.
https://arstechnica.com/tech-policy/2023/05/judge-wont-force-reddit-to-identify-anonymous-users-who-discussed-piracy/
The concern is that since the operator of the instance is not a huge corporation, it would be easier to achieve. I would bet that it's possible for an instance operator to have ip addresses of their users. So, it is a legitimate concern.