how does the connection really work?
Your litd connects to their proxy, then Zeus connects their proxy, they do a cryptographic handshake (exchanging public keys), then Zeus and your litd communicate across the proxy in an encrypted manner (they proxy does not see what litd and Zeus are saying to each other).
Is it a loss of privacy to connect to lightning labs?
The lightning labs proxy only learns your litd's IP which I'd assume they don't record. Zeus does not learn your litd's IP.
If this concerns you, you can run host your own public proxy.
Thanks a lot! I can see it clearer now
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