Sheaf on Empty Set in Zariski Topology over Spectrum of Integers

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I am confused about how to understand the sheaf on empty set (as an open subset) of the Zariski Topology over the Spec(Z), which is generated by the additive identity zero in Z. The sheaf I have in mind is the structure sheaf sending open sets to local rings. I read related pages and I cannot understand how sheaf over empty set is a terminal object. Is this terminal object an additive/multiplicative identity of the ring? Is terminal object an element of the local ring?