I see, thanks for the explanation! If you're only storing a bit of data, removing the requirement for a local directory would make deployment easier; these could just go into the database.
Oh sorry, my comment was referring to the local files created by the CLI. The server uses the file system much more heavily in order to enable efficient version control with an embedded git repo for each plan. Everything in a plan that's version-controlled (context, the conversation, model settings, and tentative file updates) is stored in this repo instead of the database.