What RQ2 is about, in the words of the people proposing it¶
Federated fine-tuning of code models across organizations is not a hypothetical RQ2 invents. Luo et al., "When Fine-Tuning LLMs Meets Data Privacy: An Empirical Study of Federated Learning in LLM-Based Program Repair" (arXiv:2412.01072, in TOSEM), federate program repair over as many as 100 simulated clients with QLoRA and FedAvg, uploading adapter parameters to a central server. Their motivation is stated plainly: federated learning "facilitates private entities to utilize their data collaboratively, while addressing the concern of data privacy by learning a model without exposing the raw data of each client", and "Data privacy is also protected by not exposing local data to each participating client". They name differential privacy and secure aggregation as possible additions and implement neither, and they state no adversarial threat model. The same setting appears for code translation between proprietary entities (arXiv:2501.05724).
That is the claim RQ2 tests, and the claim is about raw data. What the server receives is the adapter, and this log's measurements say an adapter identifies where its data came from, through secure aggregation, with no watermark, at the altitude a data-sharing agreement is written at. The gap is not that these papers are wrong about raw data staying home; it is that "the data never leaves" and "nothing about the data leaves" are different sentences, and only the first is demonstrated.