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The CE mark is the commercial manufacturer's confirmation that they follow the EU regulations and have appropriately documented this.

A home-made drone would presumably still need to follow the same relevant regulations.

https://publicapps.caa.co.uk/docs/33/CAP2003_EU_Drone_Rules_... includes a reference to drones that are "privately-built and less than 250g"

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You don't need to CE mark things that aren't sold.

And what exactly is the definition of 'toy drone'?

That could be the difference between having to register a ~30g 'Tiny Whoop' style drone or not.

That is up to the manufacturer. Anyway, you don't need to register the drone in this kind of case, only you as a pilot and even that is questionable in the case of Tiny Whoop which would be flown mostly inside (i believe that the regulation doesn't cover indoors).

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