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It refers to when a digivolution card or the top card of the Digimon with this card in its digivolution cards is placed in this Digimon's digivolution cards by an effect such as EX5-007 Coronamon's inherited effect. It doesn't include cases where a card becomes a digivolution card through digivolution.
Q2: I have a Digimon with the Light Fang or Night Claw trait and only this card in its digivolution cards. If I activate EX5-064 Koh & Sayo's On Play Main effect and place the top card of that Digimon as the bottom digivolution card, then digivolve this card into a level 3 Digimon card, can I activate this card's inherited effect?
No, you can't.
Lv.2 Sunmon EX5-001 U In-Training | Lesser/Light Fang --- [Your Turn] [Once Per Turn] When an effect places the top card of this Digimon in its digivolution cards, this Digimon may digivolve into a Digimon card in your hand with the digivolution cost reduced by 1.
Lv.2 Sunmon EX5-001 U In-Training | Lesser/Light Fang - --- [Your Turn] [Once Per Turn] When an effect places the top card of this Digimon in its digivolution cards, this Digimon may digivolve into a Digimon card in your hand with the digivolution cost reduced by 1.
Lv.2 Sunmon EX5-001 U in-training | Lesser/Light Fang --- [Your Turn] [Once Per Turn] When an effect places the top card of this Digimon in its digivolution cards, this Digimon may digivolve into a Digimon card in your hand with the digivolution cost reduced by 1.
Lv.2 サンモン EX5-001 U 幼年期 | レッサー型/ライトファング --- 【自分のターン】[ターンに1回]このデジモンに重ねられているカードが効果でこのデジモンの進化元に置かれたとき、このデジモンを手札のデジモンカードに支払う進化コスト-1で進化できる。