They're not wrong. On multiple occasions the devs have acted like assholes, this one as well. Especially the part where they initially didn't think GDPR would apply because they aren't a commercial entity (paraphrasing) is comically depressing.

Having said that, I won't be cancelling my donations anytime soon. Assholes though they might be, I still want to pay back to the Lemmy community, and I can't think of a better way than this.