From PC to PS5pro, Physical or Stay digital?

I have a PS3 and a few games I kept before moving to PC. I know these are instantly playable without downloading (correct me if I’m wrong please). I’m so used to digital because of PC now but I miss physical media so is the PS4 and PS5 physical actually ownership, or just a CD with a license that requires downloading the game before playing? If it’s the latter then staying digital is best I assume to avoid clutter? I plan to make the PlayStation my main platform so I will be buying a lot of games.