Acoustic guitar over microphone

I downloaded the demo version. I tried to generate MIDI notes from my acoustic nylon guitar using a microphone in ableton. I was able make it work but lots of latency and tons of superfluous midi notes.

First - should I even try acoustic guitar and microphone or is it more designed for electric guitar through direct XLR in audio interface like focustrite? What about silent practice guitars like the Yamaha ones? Can it pick up audio from silent guitar string vibrations?

Another question is can it also work on any other stringed instrumetns such as banjo, ukulele etc.?