A VPN can change the internet address and apparent IP-based region seen by websites, but it normally does not change the GPS/GNSS coordinates reported by your phone. IP geolocation and device location are separate systems, which is why a VPN may make one website think you are in another country while a maps app still shows your real position.
A VPN routes internet traffic through a VPN server. Websites can therefore see the server's public IP address instead of the ordinary address supplied by your home or mobile network. An IP-geolocation database may associate that address with the VPN server's city or country.
This is useful for privacy and network security in some situations, but an IP address is not the same thing as the coordinate produced by Android's location services.
GPS/GNSS signals are received by the handset from navigation satellites. Android may combine those observations with Wi-Fi, cellular and sensor data. A normal VPN does not intercept the satellite radio receiver and does not rewrite Android's location API.
If an app has permission to read precise location, it can generally receive the phone's real location even while internet traffic travels through a VPN.
A website that does not have browser location permission may estimate your region from the incoming IP address. With a VPN, that estimate can follow the VPN server. A browser or app that is explicitly granted device-location permission can instead receive Android's location estimate. The two results may be hundreds or thousands of kilometres apart without either system being broken.
For more detail, see Can you track a phone by its IP address? and GPS vs Wi-Fi vs cellular location.
Mock-location developer tools and location-spoofing software are a different category from VPNs. They interact with the device's software location stack rather than merely routing internet packets. A VPN provider advertising a different exit country should not be assumed to have changed your phone's GPS coordinates.
LocationOf is designed to record the location Android provides to the installed application. It is not intended as a tool for defeating platform integrity checks or falsifying somebody else's location.
Typically the IP region changes while the device's real GPS position does not. Do not publish your exact location while testing.
If a lost-phone or family-location service has authorized access to the device's location, changing the public IP address does not automatically make the phone appear physically located at the VPN server. Conversely, an IP address alone usually cannot provide the precise GPS position of a handset.
Understanding the distinction helps identify misleading “IP GPS tracker” claims and explains why two location-looking services can legitimately show different answers.
A tracker that receives Android location normally records the latitude and longitude supplied by the device. Its HTTPS upload may travel through the VPN, so the server can see a VPN exit IP at the network layer while the location payload still contains the device's real coordinate. Those facts are not contradictory.
This is also why using a VPN should not be treated as a method for hiding physical location from an application to which you have deliberately granted precise location. If you do not want an app to know your position, manage its Android location permission rather than relying on an unrelated network-routing tool.
For privacy-sensitive apps, review both permissions and network behavior: a VPN protects a different part of the path than Android's location controls.