First: Realize that React Query isn't a library for fetching data, but a library for caching the fetched data. So think about how you will be invalidating that cache. For us, the rule of thumb was that each fetch to the API should have it's own cache key in React Query.

Second: The data in cached in React Query is effectively globally available, so it comes with all the benefits and pitfalls that globals have. We use Storybook and do not use React Query in the components that have stories, so React Query is only used in the root components of the app.