Also if anyone obtains your xpub they will potentially be able to see all addresses generated from it.

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This was my main concern.

How would someone access this?

By being connected to someone else's node?

A compromised watch only wallet, or a watch only wallet being hosted by a third party that leaks. If you're connected to someone else's node I guess they could try to keep track of your IPinfo and log the addrsses you're pulling information on, but this is beyond the scope of my knowledge at this point.