Because the app requires VPN permission to reroute traffic, it technically could see your internet traffic. However, Arcai has a long-standing reputation (since 2005) and does not harvest user data. The VPN connection is local (127.0.0.1) only. Your data does not leave your phone.
If you are considering installing this app, you need to know exactly what tools you are getting. Here is the feature breakdown: netcut pro android