Is Overdrive safe to install?

I am not opposed to DRM or intellectual property rights, but I am wary of any program that places limits on what my computer can do, or is capable of deleting files or blocking access to them. How do I know it will not exceed its authority? How do I know it will not create security holes (as for example allowing the company access to my computer if the Overdrive program thinks I have done something I'm not supposed to?)

I like the idea of being able to "borrow" library ebooks for my Kindle, but until learning of this new offering, I had never heard of the Overdrive program (which is necessary for the process) and I know nothing of the company that created it and supports or administers it.

Can anybody tell me what Overdrive actually does and whether it's safe? The online information tells what it's for and how to use it, but not what it actually does or how much control it has over the computer.

Thanks.