(I work at Cursor) Sorry about this, we should have made this more clear. The new privacy mode is needed because we have to store some state to enable running agents in the cloud. If you don't want to use cloud agents, you can continue using the legacy privacy mode. Currently the mobile app requires this new privacy mode and won't work without it. We're pushing an update right now to make this more clear in app and can help you get reverted back to the legacy version on the support thread.