In <Case1> state, the device can accept the API command from the UART. CYSPP data from the remote host is also received in the EVENT, but it is not a raw mode. Like: @E,001A,W,C=01,H=000E,T=00,D=3536. You can also send data to the peer host through notify or indicate as described in 3.5.4.
In <Case2> state, only CYSPP mode can be used. The data between the device and peer host is in raw mode.