Scriptable Objects/Archatecture Question: Should I use for current-state info?

Hello, I am quite confused as to how to use the data held in the asset created from a scriptable object class.

In short and as an example, if I have a "player" asset created from a scriptable object that has a string for name and int for health, when the player takes damage should I subtract the damage from the player health on the game object itself or should I also remove it from the asset's data?

I guess my bigger question is "should I use scriptable objects to control the player's health and use that asset's data to update the player's game object health as well as update the UI's health info?"

I may just be getting too caught up on the whole "decoupling" thing. Or should I use a singleton for health management and use that singleton to keep a reference of the player health. Or should i be looking into this whole Observer Design pattern stuff to handle event management when the player's health on the game object drops?

I feel like I'm going down a rabbit hole.