Docx & co are XML based, but they are _zipped_, therefore binary.
Which make a version control pretty much impossible.
Which make a version control pretty much impossible.
Indeed, pass (https://www.passwordstore.org/) uses this to allow diffing and sane tracking of its password files, even though they are binary encrypted GPG blobs.
I do this with LibreOffice. I've not tested Microsoft Office with this workflow.