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On the projects I’ve worked through this on, we’ve had a separate development storefront for testing, so I haven’t done what you are contemplating. Have you considered spinning up a new GTM container (or similar), and testing them side by side, but delivering to separate destinations? This could help you avoid any clashes/muddying of the current “production” instance, while still having them in the same Shopify shop.
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& 11. To be honest, my experience so far has only been in building custom pixels. I would refer you to this high-level documentation, which provides an overview of some of the differences. I would also say that given custom pixels use iframes and app pixels use web workers, neither will have any access to the DOM. It is probably worth noting here that there are DOM events that you can tap into (documentation).
Unfortunately, I do not have a timeline on when Shopify will be releasing the runtime error reporting functionality—sorry!