This is another one of the Larian treated spells.

Disguise self is more like Fane's mask in DoS2 (which let's all be honest, we used these masks to turn into elves so we can get the larger action economy)

While i do agree that Disguise self should be more like 5e, we also need to take into consideration what this entails in a video game setting. To be concise, tons and tons of interactions for EACH disguise that takes the look of another notable npc.

Honestly it feels like too much work to be used freely.

However i would not mind if Disguise self was given as an option in a conversation leading up to a certain quest or two, sure its railroady and controlled, but that is kinda what you have to do if you wanted to stay in 5e territory.