Selfhosted
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Wouldn't these questions be as true of the VPS service that hosts Vaultwarden as of Bitwarden?
If my internet at home was better I would be selfhosting Vaultwarden and use a full vpn on my laptop/phone/tablet when leaving the house.
Now I'm using KeepassXC with my home pc as the true source and syncing copies of the database to my laptop and phone.
No, you don't need to trust the VPS provider. The VaultaWarden password storage is encrypted, and the master password is never transmitted to the server. The passwords are decrypted only locally on your device.
How does that differ from Bitwarden?
To my knowledge it's not supposed to differ.
If you trust that the client (which is open source) is doing what it's supposed to do, security-wise I don't think there's a difference between self-hosting and using Bitwarden's service.