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GDPR Compliance Risk

Shopify is a US-based service subject to the CLOUD Act. EU organizations using this service risk non-compliance with GDPR data transfer requirements.

Shopify logo

GDPR-Compliant Alternative to Shopify

🇺🇸Shopify Inc. · US-based · Subject to CLOUD Act

E-commerce platform enabling businesses to create online stores with hosting, payments, and marketing tools.

Why You Need a GDPR-Compliant Alternative to Shopify

Since the landmark Schrems II ruling in 2020, transferring personal data to US-based services like Shopify has become a significant legal risk for EU organizations. The US CLOUD Act gives American authorities the power to access data held by US companies, regardless of where that data is physically stored — even if it's in an EU data center.

While the EU-US Data Privacy Framework (DPF) adopted in 2023 provides a new legal basis for transfers, privacy experts and legal scholars have raised concerns about its long-term viability. The framework could face the same fate as its predecessors (Safe Harbor and Privacy Shield), both of which were struck down by the Court of Justice of the EU.

For organizations that want to eliminate compliance risk entirely, switching to a European-based e-commerce platforms is the most straightforward solution. Below are the best GDPR-compliant alternatives to Shopify, all headquartered in Europe with data stored in EU data centers.

CLOUD Act Exposure

US authorities can access your data stored by Shopify, even if servers are located in Europe.

GDPR Fine Risk

Non-compliant data transfers can result in fines up to 4% of annual global revenue under GDPR Article 83.

EU Alternative Available

1 GDPR-compliant European alternative available with full EU data residency.

1 GDPR-Compliant Alternative to Shopify

European services with full GDPR compliance and EU data residency

Shopware logo

Shopware

🇩🇪

by shopware AG

German e-commerce platform offering open-source and enterprise solutions for online stores of all sizes.

GDPR CompliantEU-BasedOpen SourceISO 27001SOC 2 Type IISOC 2Self-Hostable
freemiumMigration:

Why switch?

  • Shopware's open-source model allows for extensive customization.
  • Shopware's B2B Suite supports complex pricing structures for businesses.
  • GDPR compliance is built-in, ensuring data protection for EU customers.

Consider

  • Migrating from Shopify requires data export/import, which can be complex.
  • Shopware has a steeper learning curve for users unfamiliar with coding.

Quick GDPR Compliance Comparison

ServiceHQ LocationGDPR NativeEU Data CentersCLOUD Act FreePricing
🇺🇸Shopify
United StatesNoPartialNopaid
🇩🇪ShopwareDEYesYesYesfreemium

Frequently Asked Questions

Is Shopify GDPR compliant?

Shopify is a US-based service operated by Shopify Inc.. While it may have some GDPR compliance measures, as a US company it is subject to the CLOUD Act, which allows US authorities to access data stored by US companies regardless of where the data is physically located. This creates a fundamental conflict with GDPR requirements for data protection.

What are the GDPR risks of using Shopify?

The main GDPR risks include: (1) Data transfers to the US may lack adequate protection since the Schrems II ruling invalidated Privacy Shield, (2) US authorities can demand access under the CLOUD Act, (3) Your organization may face GDPR fines up to 4% of annual revenue for non-compliant data transfers, and (4) User consent may not be sufficient to legitimize transfers given the systematic access by US authorities.

What are the best GDPR-compliant alternatives to Shopify?

The top GDPR-compliant alternatives to Shopify include Shopware. These European services store your data in EU data centers and are fully subject to GDPR protections.

How do I migrate from Shopify to a GDPR-compliant alternative?

Most migrations involve three steps: (1) Export your data from Shopify using their data export tools, (2) Create an account with your chosen EU alternative, and (3) Import your data into the new service. We provide detailed migration guides for each alternative to make the switch as smooth as possible.

Can EU companies legally use Shopify?

Since the Schrems II ruling (2020), EU organizations face significant legal risk when using US cloud services like Shopify. While the EU-US Data Privacy Framework (2023) provides a new legal basis, its long-term stability is uncertain. Many EU data protection authorities recommend using EU-based alternatives to avoid compliance risks entirely.

Other GDPR Alternatives in E-commerce Platforms

Last updated: January 29, 2026