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Yup, 7digital deleted well over a thousand dollars worth of music from my account (no refund, no credit, no apology, no notice). I didn't lose it because the files themselves are DRM free and I have my own copies and backups of those copies.
I buy from Qobuz now but they could do the same thing ultimately.
Yes, I mostly buy from Qobuz and Bandcamp these days, and they've been solid so far. But I don't trust keeping my files in the cloud (aka some else's server), I buy DRM-free, keep copies locally, and keep them backed up.
I have local copies, I have backup copies in Kopia (backed by B2 cloud), and backup copies on an external hard drive that has a copy of my Kopia backups (updated periodically).