Selfhosted
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Correct.
An example of such an attack would a "cold boot attack".
It sort of depends on how the underlying hardware is designed. You can create a system in which the RAM's contents are encrypted by the hardware, but at some point the data must be decrypted for use. For example, one could theoretically sniff the data-lines between the RAM, and the CPU. This is all of course ignoring the fact that the hardware, itself, could be compromised i.e. Intel M.E., backdoors/vulnerabilities in the BIOS, etc. There's lots that can be done to try to mitigate security vulnerabilites, but there is always a tradeoff between security, and convenience.
Maybe the best form of security is memorizing a private key, then manually doing the math with a pen and paper to decrypt some text, and transmit it with a carrier pigeon.
Thanks