iCloud lock on M series Macs?

[Oldmopars]

First off, I am not looking to do anything illegal, or unethical, just looking for understanding.
When an iMac or other M1,M2,M3 series device is "iCloud" locked, where is that stored? Is this a function of the NAND? Is it written to the CPU? Is there another chip set that stores this information?
I suspect it is a function stored on the NAND, but wasn't sure. If so, it would help to explain why Apple does not want to offer user upgradable storage. If what locks it is stored there, and you swap it out, then the lock would be gone.
Is this correct?

 

[BigBlur]

It's stored on Apple's servers. The Mac "calls home" to see if it's activation locked.

 

[Oldmopars]

It's stored on Apple's servers. The Mac "calls home" to see if it's activation locked.

Thanks, I bought 2 iMacs, one unlocked with bad screen, the other locked with a good screen. I swapped the good screen on the unlocked iMac and have a nice computer for my wife. But, it got me thinking, as I did buy the locked one legally, if there was a way to unlock it. The original owner is not available, so getting the password isn't happening. So, now I have a 24in M1 iMac that is locked with a broken screen. By the time I buy the parts to make it a base model, I could just buy a nice base model.
Too bad my M2 Max MacBook logic board won't fit. I have a nice MacBook with a broken screen.

 

[Mr_Brightside_@]

Thanks, I bought 2 iMacs, one unlocked with bad screen, the other locked with a good screen. I swapped the good screen on the unlocked iMac and have a nice computer for my wife. But, it got me thinking, as I did buy the locked one legally, if there was a way to unlock it. The original owner is not available, so getting the password isn't happening. So, now I have a 24in M1 iMac that is locked with a broken screen. By the time I buy the parts to make it a base model, I could just buy a nice base model.
Too bad my M2 Max MacBook logic board won't fit. I have a nice MacBook with a broken screen.

Depending on your meaning of legally, http://al-support.apple.com