One of the downsides of having only unannounced channels is that routing through public channels give you a lot of plausible deniability when making or receiving payments. Your counter parties can't know if it's you or just someone routing through you.
Since lnproxy works just as well with private channels (the wrapped invoice will just have routing hints), running an lnproxy relay restores this plausible deniability (as well as giving you some potential routing revenue).
Even nodes not running relays benefit, since your counter party now has to assume that it's possible you're running an lnproxy relay they don't know about.
lnproxy
npub1uf…mzcue
2023-05-30 03:55:53
Author Public Key
npub1ufdgkgz3qg4q37taye75hxwal3gq5zl7zjd97ec7gmmja84rdmyspmzcuePublished at
2023-05-30 03:55:53Event JSON
{
"id": "0431086ede5b26a2771c5cbb45028c903db95c43bd4fb04f4cd54b85937adaa2",
"pubkey": "e25a8b2051022a08f97d267d4b99ddfc500a0bfe149a5f671e46f72e9ea36ec9",
"created_at": 1685418953,
"kind": 1,
"tags": [],
"content": "One of the downsides of having only unannounced channels is that routing through public channels give you a lot of plausible deniability when making or receiving payments. Your counter parties can't know if it's you or just someone routing through you.\n\nSince lnproxy works just as well with private channels (the wrapped invoice will just have routing hints), running an lnproxy relay restores this plausible deniability (as well as giving you some potential routing revenue).\n\nEven nodes not running relays benefit, since your counter party now has to assume that it's possible you're running an lnproxy relay they don't know about.",
"sig": "388da9ca5a2fc38a31ef33f22c318ce807bd6f63a91c18963b66be51aacd9bccfa03e4810220a76ce3b13e795509e5529380acdaed00a99a21e52270df0a4f9b"
}