You need to trust your centralized provider that no logs are stored on their servers.

If you are going to do something out of law, then don't use your VPN attached to your VPS, but if the goal is just to hide your IP to not doxx yourself, then your own VPN is better, more flexible.

Also, if you are a criminal using Mullvad, do you think they will refuse to work with the officials to catch you?

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I’m talking about reasonable expectation of privacy not breaking the law.

If you’re the only user using that IP on a service, it’s considerably easier to track you then if you are in a shared pool. Think of something as simple as a google search and how it would appear on a web server log.

Based on the Example of this Note:

I agree with Mazin, within reasonable privacy VPN like Mullvad (doesn't have identifiable user email, can pay with crypto like monero) is harder to track than VPN with single user VPS (Hetzner with identifiable user data, cannot pay with crypto - https://docs.hetzner.com/accounts-panel/accounts/payment-faq/ ) .

I will agree with Alex, if User registered their VPS account with fully anonymous crypto.

Good point.

But I'm not comfortable to put my traffic on Mullvad or any other VPN provider.

What do you think of changing your VPS server IP address periodically, will it mitigate the conserns you raised?