What happens to the file
With Nextcloud, files are uploaded to your organisation's own Nextcloud server and synced to everyone's devices. Sharing gives people access to that stored copy, by account, by group or by link. The copy sits on infrastructure you control, and it is yours to secure, back up and keep patched. End-to-end encryption is available for the folders users choose in the desktop and mobile apps.
With Privatta there is no server holding the file. It stays on the computer it is on until someone you allowed asks for it, then travels directly to theirs, encrypted. When the transfer finishes there is no stored copy anywhere to look after.