Earlier quoted context omitted.
Correct me if I'm wrong but isn't this the same thing as turning iCloud backups off and doing local encrypted backups instead? It seems like a reasonable choice to me, if you don't want to store in iCloud you can keep it locally with a different encryption model.
Yes but only iCloud backups can happen automatically and wirelessly every night. For local backups you need to attach the phone to your laptop using your usb cable and click "back up" in iTunes manually every time.
[1] http://osxdaily.com/2011/10/13/wi-fi-sync-for-iphone-ipad-io...