Neon, a modern OLTP database system, separates storage and compute to offer elasticity and serverless operation, allowing users to pay only for what they use without committing to specific storage or compute capacities. This architecture typically incurs latency due to additional network hops, but Neon mitigates this with a Local File Cache (LFC) that uses NVMe storage to provide performance comparable to local disks. The LFC, acting as an intermediary cache layer, is flexible and resizable, allowing users to optimize for workload needs without sacrificing elasticity. Benchmark tests, including a TPCC-like benchmark, demonstrate that Neon maintains high query performance and low latency without requiring overprovisioned local storage, showcasing its ability to deliver both elasticity and robust performance. Recent developments have made large-cache configurations publicly available as part of the Databricks Lakebase launch, and future updates aim to enhance the LFC's capabilities further.