"Folder" in TouchDesigner always refers to a Windows or macOS operating system directory/folder system that contain files and other folders.
In contrast, a TouchDesigner "Path" is the hierarchy of Components internal to TouchDesigner. A Path is a location of a node, which may be a component containing other nodes.
Filesystem files on the internet can be referred in TouchDesigner parameters by their URL:
http://www.internetplace.com/Movies/movie1.mp4, which downloads the file and reads from the temporary local file.