Changing cursor size isn't new to Monterey: Catalina > System Prefs > Accessibility > Display > Cursor. Changing cursor colors is. (Sounds like it could be fun.)
I can't quite imagine what "multicolor" looks like.
As far as I can tell multiocolor means just that. Instead of a single bas cooler scheme, different items have unique colors. This has been an option on Apple Watch faces for a yyear or two now.
