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Threads' New Terms and Conditions Affects the Fediverse
(wedistribute.org)
A community dedicated to fediverse news and discussion.
Fediverse is a portmanteau of "federation" and "universe".
Getting started on Fediverse;
Does that mean that the only way of stopping my data from reaching Threads would be for them to defederate from my instance?
No, if you defederate from them, all connections to them are blocked. But federated data is public, if they wanted it, they could just grab it via the API.