The downside is that git history is pretty useful, so it would suck to not sync it.

But you gave a real solution to the problem.

Edit: I remember now that one problem with iCloud was that doing something like switching Git branches or checking out commits causes a catastrophic sync cascade in the code folder itself.

Maybe Dropbox is better at dealing with that kind of thing in general. But that's pretty annoying for any syncing system to deal with, heh.

I guess the simplest solution is to just get into the habit of pushing every little project to github.