Records are published by the domain’s authoritative nameservers and cached by resolvers for the record’s TTL, in seconds, which is why changes take time to propagate.
A CNAME can’t sit at the root of a domain (example.com) next to the records that must be there, such as SOA and NS. Many DNS providers offer a flattened alias for that case.
Mistakes in these records cause outages that look like server failures: a wrong A record sends visitors elsewhere, a missing MX stops email, and a CAA record that leaves out your certificate authority blocks certificate renewals.