My understanding of what that setting does is to synchronize SETTINGS between MYSB.com and your local Squeezeboxserver. No matter what, Squeezeboxserver still uses MYSB.com to configure access to some of the internet services (pandora, etc.). What you "lose" is that if you add a preset, say, on MYSB.com, you wouldn't have the same preset on Squeezeboxserver (unless you create the same preset there as well). I don't recall what other settings are synchronize - I know a list was sent out at one time. As I am always connected to Squeezeboxserver, it doesn't make any difference to me, but I do indeed still have access to Pandora, LastFM, Sirius, etc.
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