What is the difference between unmanaged and managed hosting

I have get myself an ecommerce store which is created on Magento framework. The website will be on clothing and will be operational in Florida region. I think digitalOcean is a great hosting provider as it is considered the best option for Magento based website. But I am confused whether I go for the managed Magento hosting server which is powered by Cloudways or the un managed conventional digitalOcean server.