But, everything can be hacked...
Yes, but if someone hacks Your service provider, it isn't Your fault, so more pain in ass and You cannot avoid it on Your own (unless You'll run pentest on Your provider and help him with hardening).
Pros:1. If You need something cheap, VPS is it.
2. Perfect for hosting small to medium projects.
3. If You are skilled enough, You can use VPS just like "smaller" dedicated server without noticing big difference in many cases - just some more fun and effort.
4. You can mine LTC on it if You want (can cover around 30% hosting cost, with strongly niced miner You won't even notice any "lag").
5. Perfect for development and testing purposes.
6. It can be Your swiss-knife if You know what You want to do with it.
Cons:1. In most cases, dedicated servers haves better performance for lower price (assuming that You want to achieve similar results on dedic).
2. Hardware problems - most VPS providers will not give You direct access to hardware.
3. In some countries, provider can browse Your private data legally (and share funny news with police).
4. Some providers will beat You if You'll use 100% CPU or so.
5. In most cases (not all), VPS isn't very good to handle big traffic.
6. It's fun to have Your own "dedic" in toilet!