Permissions: profile listings and forms
Yes - it sounds a bit contradictory, but the true reference is to prevent anonymous users access to things like membership directories. Even so, unless you want to force everyone to login to provide this information (be it through an online contribution page, an event registration or a standalone profile), you'll need to grant this permission to the Anonymous User role. If you offer online directories to which you wish to limit access, you can limit access to that directory by using CMS permissions (e.g. require login to view the page/block/element through which this directory can be accessed on your website).