I knew I must have been missing something in how the networking works there… so the DHT facilitates the connection, but the IP addresses are still visible to the connecting parties?

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Yes, pretty much like torrent

Been reading up on the hyperdht and even some of the older hyperswarm docs and it’s making more sense. Thanks!

Yes it’s that same security considerations of BitTorrent. If you want to protect your IP from those you connect to, use a VPN. Or simply choose your peers to only those you trust. There are also obfuscation methods that will emerge P2P in the network itself and I know people thinking about those, but generally just thinking about it like BitTorrent is the easiest way to protect your privacy/safety as needed.