What is the difference between difference between local image upload and internet image

I am builiding hugo local website and i am uploading to my hosting provider when ready.
For images in post i upload them to static/image folder and use the code like this
once i build the website and upload to hosting folder will these embedded images also be updated.
The image code i using something like this
Or should i upload in some github folder and embed wih public url while making the blog posts

Your posting does not contain any code.