motu 828mk3 hybrid...on board mixing

[HARDDRlVER]

Would someone be so kind as to school me on the cue mix many of the motu devices now have on board.

I understand that it's to eliminate or help eliminate latency.
But I just can't get my head around the concept, at all.

I get that the interface has on board effrcts, and as you can record, you can choose to send a dry or wet signal to the track. But I think there's more to it than that, and it's this that I don't understand.

Prior to having on board effects you could route an effect along with a signal so the player might have the advantage of a reverb or distortion...something/anything so the player has a better feel of the performance.

So, what I don't get is...if you have an on board effect going into your headphones, send a dry signal to track 1, then go to record a second track, the 1st track still has to get to your headphones..does that come into the headphones dry as well?..and you add an on board effect to it there as well? What happens when you have multiple tracks you need to listen to as you record yet another signal? Some may need distortion, some reverb etc. Is the idea that you'll NEVER have an effected recorded signal go to the interface until all the recordings are finished?

Just a bit confused, as you can see.

So many discussions about cue mix ending with the phrase 'this make latency a moot point'...
?