well to be fair it's not always important to have the server at the geoip since a lot of the time you can measure the real latency of a user behind an ip address anyway.

the only important bit is that it is made clear whenever a given country falls under some category that allows things such as traffic analysis and cataloging.

it's actually often times preferrable to lie about the server location for lower latency access geo-blocked content, particulary when accessing US geo-restricted content in europe.

if you want true privacy you have to use special tools that not only obfuscate the true origin, but also bounce your traffic around (which most of these vpns provide as an option)