Hosted Adsense vs Non-Hosted Adsense account

Hosted AdSense account -

Website hosted on domain(youtube.com and blogspot.com) that belong to AdSense host partner is called host partner website.
If you sign up AdSense account using host partner website, then it is hosted AdSense account.
If you're using AdSense host partner, you'll see their name listed on the Third party access page of your account, in the "Access and authorization" section under "Settings".

Website hosted on Top-level domain(.net/.com/.org) that doesn't belong to an AdSense host partner(youtube and blogger) is called non-host partner website.
If you have an approved AdSense account on your own personal domain and hosting, it is called non-hosted AdSense account.
You can also purchase custom domain name or top level domain for blogger and use blogger as free hosting to create your own website, then you can use this website to convert hosted account into fully-approved non-hosted AdSense account.

Revenue share of 55% is shared with publisher of hosted account and even the publisher of fully approved AdSense account who have custom blogger domain name.
Here, google will hosts your account for free and all your data will save in google server. So, there will no such problem of buying hosting, domain, wordpress.
In hosted AdSense account, there is no chance of banned of AdSense because google itself access it. So, if any of the webpages violates AdSense policies, google will stop showing ads there and it will easily tackle any invalid clicks on your hosted site. In this way, your account will never disable.
It is easy to get approval from hosted account compared to non-hosted adsense account. It is not possible to use ads in other website after one approval but with the help of new custom domain, we can place ads on any website.

Revenue share of 68% is shared with publisher of non-hosted account.
It seems greater compared to hosted account but google has not provide any free domain or hosting in it.
In non-hosted AdSense account, google will have no access to your account. So if any invalid clicks happen or any wrong happens, it is the responsibility of you and totally depend on you to save your website from getting banned.
It is difficult compared to hosted AdSense account to get approved. But once you approved non-hosted account, you can use it on any website without further approval. So, non-hosted account is also called fully approved AdSense account.