even if the trust assumptions are far from perfect, VTXO models make sure you are not participating in a fictional reserve scheme. altho this is more true for Ark than statechains. not that you can't combine the two in creative ways.
The infamous Wallet of Satoshi that everyone likes to dunk on for being custodial has been upgraded with the Spark protocol. Is it now fair to say that WoS gives you self-custody? Is Spark any good? Here's my honest review of the beta including some experiments.
https://blog.apathy.tv/articles/wallet-of-satoshi-spark-beta-review
If you are better than other people, you can access it on I2P.
http://apathy.i2p/articles/wallet-of-satoshi-spark-beta-review
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