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"local" is a declaration, which contains statements, which will be related only for a local machine.
"cloud" is a declaration, which contains statements, which will be related only for a cloud provider resources.
Using cloud provider needs passing credentials specified for each provider. It can be passed as a file(can be exported in the cloud provider's console).
Using cloud provider allows to save copy of logs to bucket, so if local log file is lost, it can be loaded from cloud bucket.
"demon" is a declaration, which contains statements, which will be related only for a demon mode. For example there can be set "repeat_each". It means the ticker for listener to check if stated resources are alive.