This is so "by design". You can remove it from registration (then name becomes same as username) but not from profile edit.
In 1.2 RC, the publishing is controlled by your existing CB configuration's setting for name type (single, first/last, first/middle/last).
This is certainly a valuable feedback.
It is so, because we didn't want to break backwards compatibility by removing or extending this setting, as quite some 3pd extensions use that setting.
Not sure how we can fix that for stable, while staying fully compatible.