No, it doesn't. They'll still have chat history for you, and "profile not available" if they try to click through to your profile. If you want to remove chat history you'll need to block them before deleting.
It does eventually disappear. I had been using Grindr to talk to my fiance for awhile when we were just dating and I deleted my account and while it did show up on his end as profile not available the chat eventually disappeared. I'm unsure if Grindr archives it somewhere or not but it does eventually vanish.
If you dont want the other person to have the conversation from their side, it's probably best to block them before deleting.
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