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And can it be used to run iOS apps inside a browser inside an Android phone?

Cophones are running an Android version from e/OS/

You can access the virtual smartphone from a browser running in a physical smartphone. Unfortunately not all smartphones/browsers support it.

Any comments on why e/OS for your image and not GrapheneOS, given superior patch interval and other benefits that your users may want/need?

Because no secure element, which is a hard requirement for GrapheneOS (hence Pixel-only).