Yes, the sync to backup file feature is not meant to replace library backups, so you'll want to continue periodically backing up your library to Google Drive. It does not provide incremental backups either (that's still on my list). The option to synchronize to a backup file was put in place mainly for individuals or businesses that need a way to deploy changes to a large collection of devices that may not have a router to connect to (so they can't use WiFi for synchronizing and bluetooth is too slow). Unlike restoring a backup file, synchronizing to a backup file provides the option to keep things like annotations for an individual user from being ovewritten.
Mike
Mike