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But, Sway also supports a Wayland protocol which allows other applications to configure the displays instead. You can read it here if you want the gritty details. My preferred application to configure Sway's outputs is wdisplays.
A key thing to remember with Wayland and external monitors or projectors: it will appear as a separate desktop, just like if you had two monitors and mirroring is not built in (and it does not appear it ever will be). If you want to mirror your screen, you'll have to use something like wl-mirror, which is actually really simple and slick.