Of your two options beneath, I go with #2 in my game. It represents -quietly- coming up behind the target...to be ruined by stepping on a twig before the moment of truth (classic movie scene depicting a 1 on such a stealth check).
Rogues can always range attack from hiding with a thrown dagger or a crossbow, so they can benefit that way. It wouldn't break the game though to let the rogue run out from hiding and gank someone, although if they're dual-wielding then they're getting two attacks with advantage on both which essentially means four chances to get off their sneak attack dice. That's very strong, but it rewards clever play.
Other possibilities I've considered for letting rogues hide and then run out to gank someone:
1) You can remain hidden while using the dash action, but not while moving normally. So a rogue can cunning action dash, then immediately attack while still hidden. Doing anything in between would mean you're revealed.
2) You can attempt to run out and gank someone, but it requires a successful stealth check against their passive perception.