Location-based Services (LBSs) provide valuable services, with convenient features for users. However, the information disclosed through each request harms user privacy. This is a concern particularly with honest-but-curious LBS servers, which could, by collecting requests, track users and infer additional sensitive user data. This is the motivation of both centralized and decentralized location privacy protection schemes for LBSs: anonymizing and obfuscating LBS queries to not disclose exact information, while still getting useful responses. Decentralized schemes overcome the disadvantages of centralized schemes, eliminating anonymizers and enhancing users' control over sensitive information. However, an insecure decentralized system could pose even more serious security threats than privacy leakage. We address exactly this problem, by proposing security enhancements for mobile data sharing systems. We protect user privacy while preserving accountability of user activities, leveraging pseudonymous authentication with mainstream cryptography. Our design leverages architectures proposed for large scale mobile systems, while it incurs minimal changes to LBS servers as it can be deployed in parallel to the LBS servers. This further motivates the adoption of our design, in order to cater to the needs of privacy-sensitive users. We provide an analysis of security and privacy concerns and countermeasures, as well as a performance evaluation of basic protocol operations showing the practicality of our design.