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Selfhosted
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Either is fine: the question is what happens when something breaks and if you care about issues and such.
If your docker host depends on the pihole it's running, there can be some weirditry if it's not available during boot and whatnot (or if it crashes, etc.).
...I ended up with a docker container of pihole and an actual pi as the secondary so that it's nice and redundant.
This approach sounds good.
I think the correct approach is both, if you have the option.
Most devices accept two name servers. Redundancy is always good, especially for DNS.