Difference between Unlocked vs Second Generation Managed Package

Question

Bear with me, I'm not sure I fully understand what's given in the documentation. I understand the difference between 1GP vs 2GP.

From what I read Unlocked Packages are different than Second-Generation Packages, What I don't understand is the actual differences between them.

Answer 1

I can list down these:-

1. Second-generation managed packaging (2GP) is intended for AppExchange apps where as unlocked packages are especially suited for internal business apps. If you’re a customer or system integrator and you don’t plan to distribute a package to multiple customers, unlocked packaging is the preferred tool.
2. In order to use unlocked pacakge, you must enable second-generation packaging in your Dev Hub org, so it mean Unlocked Package is a 2-nd generation package
3. Metadata elements are not locked and can be changed by system admins in unlocked package where as Second Generation Managed Package is managed