How Can I Use a Remote Docker Engine with My Local Docker CLI?

I’m trying to set up my local Docker CLI to communicate with a remote Docker Engine running on a DigitalOcean Droplet. Basically, I don’t have much resources on my local machine so I need to run some builds and runs on a remote Droplet.

I’d like to understand:

1. How can I securely configure my local Docker CLI to use the remote engine?
2. Are there any best practices for securing the connection (e.g., certificates, SSH tunnels)?
3. What are the main benefits and potential downsides of using a remote Docker Engine compared to a local one?

I’ve looked at the Docker documentation, but I’d love to hear from the community about practical tips, common pitfalls, and real-world use cases.