iCloud Drive and Documents folder

I'm setting up a new Mac mini M2.

I have a Mac min M1. On that machine, I had set it up so that when I clicked on the Documents folder in the Sidebar of Finder, all those files were stored on iCloud Drive.

When I started setting up my new Mac mini M2, I saw that all the files in my Documents folder within iCloud Drive were intact. I didn't remember how I set it on my M1, so I searched online and found these instructions:

Turn on Desktop and Documents

1. From your Mac, choose Apple menu  > System Settings. ... 
2. Click Apple ID, then click iCloud.
3. Under Apps Using iCloud, click iCloud Drive.
4. Below iCloud Drive, check that Sync this Mac is turned on.
5. Turn on Desktop & Documents Folders.
6. Click Done.

After following these instructions, it the Documents folder within iCloud Drive is now empty. Have I just deleted a year's worth of files?

Thanks for any advice on fixing this.