Perhaps its time that YC mentioned explicitly that if they are going to fund a company which holds specific PII data(i would include precise location history to start with) they would have to guarantee:
1. An erase-me feature if they gained over say some X unique/active users.
2. Disclose to their best legal abilities on warrants served in the countries that allow such disclosure. Allow for strong whistle blower protection if warrantless wiretapping becomes a thing.