A lot of the comments are fairly critical, but I think your move was praise worthy from the perspective of CO2 emissions alone. You should feel good about that.

While Iceland may not be a privacy paradise, I still think Icelandic hosted servers provide a higher barrier than US based servers for government data collection. The US government has a history of high volume warrant-free collection of user data - your setup in Icelandic appears more resilient to this approach. However, as others have pointed out, Icelandic hosted systems are still vulnerable to traffic analysis as well as physical and legal attacks on servers and key holders. The solutions to these types of problems though are more political than technical.