If your business operates in the EU or handles data of EU residents, GDPR compliance isn't optional. File sharing is one of the most common areas where companies unknowingly fall short—sending client files through US-based cloud services, storing employee documents on servers outside the EU, or using platforms that scan file contents.
This guide explains what GDPR requires from your file sharing tools and why Nextcloud with EU hosting is the most reliable way to stay compliant.
What GDPR Requires for File Sharing
The General Data Protection Regulation has several provisions that directly affect how you store and share files:
| GDPR Principle | What It Means for File Sharing |
|---|---|
| Data Minimisation (Art. 5) | Only collect and store files you actually need |
| Purpose Limitation (Art. 5) | Files must be used only for their stated purpose |
| Data Transfers (Art. 44–49) | Transferring data outside the EU requires legal basis |
| Right to Erasure (Art. 17) | Users can request deletion of their files |
| Security (Art. 32) | Appropriate technical measures to protect data |
| Data Processing Agreements (Art. 28) | Written contracts with any processor handling your data |
The Problem with US-Based Cloud Storage
After the Schrems II ruling (2020), transferring personal data to the US became legally complicated. While the EU-US Data Privacy Framework (2023) provides a new mechanism, it faces ongoing legal challenges.
Using Google Drive, Dropbox, or OneDrive means your files transit through or are stored on US infrastructure. This creates several GDPR risks:
- Data transfer legality: The legal basis for EU-to-US transfers may be invalidated again
- US government access: CLOUD Act allows US authorities to compel disclosure regardless of data location
- Data processing: These platforms process file contents for indexing, AI training, and feature development
- Sub-processors: Your data may pass through dozens of sub-processors you've never heard of
Why Nextcloud Is the GDPR Standard
Nextcloud is recommended by multiple European data protection authorities, including the German Federal Office for Information Security (BSI). Here's why:
1. EU Data Residency
When hosted in the EU, your data never leaves European jurisdiction. On DanubeData, all Storage Share instances run in Falkenstein, Germany—a Tier III+ datacenter with redundant power and networking.
2. No Data Mining
Nextcloud doesn't scan, index, or process your files for advertising, AI training, or any purpose beyond serving them to authorized users. The software is open source—you can verify this yourself.
3. Full Admin Control
You control:
- Who has access to what files
- Sharing permissions and link expiration
- User accounts and authentication
- Which Nextcloud apps are installed
- Data retention and deletion
4. Right to Erasure
Deleting a user or file in Nextcloud actually deletes it. No hidden copies, no 30-day recycling bins you can't disable, no data lingering in backups you don't control.
5. Encryption
DanubeData Storage Share provides:
- TLS 1.3 for all connections (automatic certificates)
- AES-256 encryption at rest for S3-backed storage
- Optional server-side encryption via Nextcloud's encryption app
Common GDPR File Sharing Scenarios
Sharing Client Files
Lawyers, accountants, and consultants regularly exchange sensitive files with clients. Using Nextcloud:
- Create password-protected sharing links with expiration dates
- Track who accessed what via Nextcloud's audit log
- Revoke access instantly by deleting the link
- All data stays in Germany—no transatlantic transfers
Employee Document Management
HR departments store contracts, payslips, and personal data. Nextcloud provides:
- Folder-level access controls per user or group
- No third-party access to employee records
- Easy deletion when an employee leaves (right to erasure)
Healthcare and Medical Files
Medical data has additional protections under GDPR Article 9. Nextcloud's EU hosting and access controls make it suitable for:
- Sharing medical images between practitioners
- Patient file portals
- Research data collaboration
Setting Up GDPR-Compliant File Sharing
Getting started with DanubeData Storage Share:
- Create an account at danubedata.com
- Deploy a Storage Share instance—choose a plan (1 TB from €4.99/mo)
- Create user accounts for your team via the Nextcloud admin panel
- Set up folder structure with appropriate permissions
- Connect desktop clients for automatic file sync
- Connect mobile apps with QR code scan
The entire setup can be completed in under 15 minutes. No server configuration, no TLS setup, no database management.
GDPR Compliance Checklist for File Sharing
| Requirement | DanubeData + Nextcloud |
|---|---|
| Data stored in EU | Yes (Falkenstein, Germany) |
| No US data transfers | Yes |
| Encryption in transit | TLS 1.3 (automatic) |
| Encryption at rest | AES-256 |
| Access controls | User/group/folder level |
| Audit logging | Nextcloud admin log |
| Right to erasure | Full user/file deletion |
| No data mining | Open-source, verifiable |
Get Started
GDPR compliance doesn't have to be complicated. Deploy a managed Nextcloud instance in Germany, create your users, and start sharing files—all within EU borders.
Create your DanubeData account and deploy GDPR-compliant file sharing starting at €4.99/month.