You absolutely can. Infact I have setup crymptomator to encrypt the files before uploading to google drive.
Here is my setup . I have my main obsidian vault on local drive . I use syncthing to sync this folder with my Android device.
I have installed google drive mounted it and setup cryptomator with it .
Next I use rclone to sync the contents of my root folder with the mounted google drive folder
they get encrypted and uploaded.
The reason I am not directly using mounted drive as my obsidian folder is because of performance issues in vault.
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