Yup, it's right, but their is a nuance to be made.
As you said blogs with 'sexual explicit content' is a no no on blogger. But if you just like to tell adventures which you had with your latest girlfriend or blog about your erotic fantasies then you can just go with blogger.
If you want to post adult content on your blog (i mean pictures) then you might want to consider thumblogger:
http://www.thumblogger.com
Adult content is allowed there and it's over 1 year in business and used by a lot of happy adult webmasters. Since about a month it has the 'blogger' effect, which means search engine traffic within one day.
Do your searches on several boards to confirm my story.
And if you decide to go with your own hosting then you can still use thumblogger, for example to feed your main blog, great for outgoing and incoming links, PR en search engine traffic.