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I'd put a legal blob in the Legal section clearly outlining the nature of the fediverse and making it clear to the user that really deleting stuff from Lemmy is near impossible because every instance has a copy of it. That you'll happily comply and purge the user's data upon request but that it will still be cached on every other server.
I'd be interested to see what lawyers have to say about it. Technically the data sharing is absolutely required by the protocol so it might be okay with the GDPR, but it's also possible that as worded it can't possibly be GDPR compliant. It was designed with big companies like Google, Meta and big advertisers in mind, and didn't really account for decentralized services like the fediverse...
Actually I wonder if the end result would end up essentially being, you can only federate with other GDPR compliant instances that you trust will respect the GDPR and honor federated data delete requests.
The core of the issue is that just by the virtue of running, an instance collects a stupid amount of data. I was baffled at how many user accounts my instance had discovered mere hours after starting it up.
Edit: row counts after just a week of running my private instance with only 3 users:
The profiling potential is scary, so users should be really careful with basically every interaction on the Fediverse, including votes. I bet the feds are having a field day monitoring what's going on on exploding-heads and lemmygrad.
I believe this is probably what will happen if this ever becomes a big issue. GDPR was never intended to be navigable for anything except giant proprietary blob tech companies.