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Personally, I prefer using a cloud backup service. That way you still have the file locally on your system. I also use a disk imaging program giving me multiple different backups in case there is an issue with one or the other.

I have no experience with the iCloud Drive. I have the notes from my iPhone SE 2022 stored in iCloud. But those do not contain critical information, so I'm not worried if there is an issue.
 
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