WatchControl uses the Apple iCloud KeyChain to sync configuration data between the Mac app and the Apple Watch app.
It uses Bluetooth to send encrypted commands from the watch to the Mac. The Mac and Watch app request Bluetooth permission to be able to communicate over bluetooth.
The Mac app requests accessibility permission in order to control the Mac’s audio (Play/Pause, Louder, Quieter, Next, Previous).
If you submit a bug report within the app then the report is submitted to an Atadore server, together with a log. You have to explicitly do this withijn the app, it doesn’t happen by itself.
WatchControl uses no third-party tracking services or libraries, and does no such tracking itself. It does not connect to the internet or directly use the network at all.