Assuming it's pulling from a media server it can't make any changes.
Depending on the capabilities of your server the negatives do generally far outweigh the positives (grid view, additional sort options in album view and A-Z jumpbar), but it can't hurt so give it a go!
In "Advanced" mode they're using the metadata of the remote media server, something that doesn't exist for SMB shares.
I would have thought the database was on the phone, but given the app doesn't need to be running (during the indexing), maybe it's on the WiiM device. App storage (before and after) should give a good indication.
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