Sorry for the delay, I was developing version 1.0.8 and forgot to answer your request. My apologies, hope you can understand. Answers below:
1. The embed can be controlled for the custom post type video, you have a panel with video settings under the editor to do that (you might need to enable it from Screen Options if it isn’t displayed).
If you import posts as your theme post, unfortunately, this doesn’t apply since all display of videos is managed by your theme.
2. Just released today version 1.0.8 that implements this. See plugin Settings page, there’s a new option in there that truncates the text based on a given string for all new imports.