They tout it being made ‘local first’ all data would then be stored locally so the user can access it offline. The 1 GB limitation is for paid backups which a user doesn’t have to do. If I wanted a backup, I could just share p2p share from my laptop to my PC for example. Both would have copies.

The p2p relay is a way to coordinate p2p connections, data doesn’t pass through them. Once a connection is made between my laptop and my PC data is transferred directly.

On the topic of the p2p relay it could expose IP addresses and device meta data. I’ve not done digging yet into the relays. But then again most DHTs do and even something like synthing has relays like this.