"Native" indicates the system is booting directly through UEFI firmware rather than using a Compatibility Support Module (CSM) or legacy BIOS emulation.
In a standard Windows environment, the EFI partition contains the and its configuration file, the BCD (Boot Configuration Data) .
The firmware executes this file, which then reads the BCD to determine where the main Windows partition is located and how to start the OS. EFI system partition - ArchWiki
It searches for a specific bootloader file (usually bootx64.efi ) within the /EFI/boot/ directory of the ESP.
The significance of this file lies in how it interacts with modern computer startup processes:
When you power on your PC, the firmware (UEFI) initializes the hardware.