I've had better luck with webp as far as minimizing size while preserving acceptable quality.
Not sure what other apps do this (they really, really should!), but Tesseract can optionally pre-convert a pasted/uploaded image to webp with a user-selectable quality profile. When I ran an instance, I had a very low (250 KB) upload limit on images, and the pre-conversion made it a non-issue for all but the largest images.
That also works to strip out metadata, though I believe pict-rs (Lemmy's image "subsystem") will also strip out metadata (don't quote me on this and do correct me if I'm wrong).
Edit: Also, whoever runs linkage.ds8.zone has Anubis setup wrong. The /api path should not be behind Anubis.