~/Library/Mobile Documents/*Documents* as sole holding location for all local documents?

Would it be without danger or risk to keep all local Document files positioned NOT in a standard Documents folder -- but positioned in the hidden "Documents" folder that is inside the "Mobile Documents" folder in ~/Library

~/Library/Mobile Documents/DOCUMENTS -- (Probably symbolic links involved)

I have tested and found that when the very first file is placed in the ~/Library/"Mobile Documents"/DOCUMENTS folder, this action immediately results in the creation -- in iCLOUD DRIVE -- of a matching DOCUMENTS folder (with a circle or sun on it)...and with that given file located inside it.

It seems that this DOCUMENTS folder is a live local container for documents that are then immediately uploaded into "iCloud Drive"

==> So I am asking if this is an indication that it is continually safe to position all original local document files in this Documents location within "Mobile Documents" -- and thereby resulting in immediate copying (not moving) to iCloud of any newly created or modified Documents.

This does not seem to be a complex question -- and I hope it can receive an answer.

:::

TL;DR -- Based on a back-search of other queries, I hope I am very completely wrong that there is possibly a "Do Not Answer" mandate enforced upon moderators concerning "Mobile Documents" questions.