I have (not an exhaustive list) SSH keys and sensitive repositories hanging out on my filesystem. I don't trust _myself_ with that, let alone an LLM, unless I'm running ollama or similar local nonsense with no net connectivity.

I'm a few degrees removed from an air gapped environment so obviously YMMV. Frankly I find the idea of an LLM writing files or being allowed to access databases or similar cases directly distasteful; I have to review the output anyway and I'll decide what goes to the relevant disk locations / gets run.