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How do you know ?
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It's open source and it's not even owned by Blockstream.
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Liquid is operated by a globally distributed federation of members, including exchanges, financial institutions, and other Bitcoin-focused companies. Members collectively manage the network and guide its development. For more information see Liquid Network Governance.
Every member in that list is AML KYC liable.
Blockstream started and continues to run Liquid,
It was only open-sourced recently, and there is no guarantee what is revealed is what is running in the background or what logs and associations are being kept.
Privacy is not one of their selling points.
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