If you are out of the magnetosphere, wouldn't your data be subject to way more cosmic ray interference, to the point that its actually a consideration?
Geostationary orbiters operate there during the day but this concept would position systems 100x closer to earth and well inside the protective envelope.
In LEO, there is a lot of testing and mitigation you can do with your design to help reduce the chance and impact of radiation single events. For example, redundancy for key components, ECC for RAM, supervisor hardware, RAID or other storage tooling, etc.