Up until very recently all products wanting to use Bluetooth LE required the location permission because BLE beacons and similar can and we're used for location

Up until very recently all products wanting to use Bluetooth LE required the location permission because BLE beacons and similar can and we're used for location triangulation. It was a marketed feature of beacons that they could track your position down to the aisle in a store and potentially advertise to you if you walked past specific stores. There's finally a separate permission for it but it can still be used to determine your location.