Selfhosted

You can also set it up to point at unbound for either recursive resolving of DNS, or resolving over HTTPS/TLS, as right now most DNS traffic is sent over unencrypted connections, meaning your ISP can see all of the domains you are resolving.

Two things. 1, unless you specifically need to run the software on a Pi, I recommend using AdGuard Home over Pi-Hole. It's more actively maintained (not to imply that Pi-Hole isn't actively maintained), and is going to be more of a setup once and forget type of solution.

2, the value in running a software like this is to be able to monitor your network traffic for suspicious activity, block ads, and access to malware, porn, warez, gambling, crypto, etc (especially if you have children). You can use custom blocklists like Hagezi's threat intelligence feeds (TIF) which instantly decreases your attack vector while interfacing with the clear-net. The TIF blacklists block malware, cryptojacking, scam, spam and phishing. Blocks domains known to spread malware, launch phishing attacks and host command-and-control servers.

I very highly recommend using the Hagezi TIF lists. You can setup AdGuard very easily (mine runs off my Synology NAS), and you can easily force your entire network to use it by changing your DNS server in your router configuration page to your AdGuard Home instance IP (in my case, it's my Synology NAS IP from within my network).

Takes a few minutes to setup, and you're done. From there you can use the web-ui to change settings, update blacklists, and even see what your network traffic looks like: https://x0.at/D-aY.png and you can even block access to services directly: https://x0.at/QlbJ.png