Is there a way to make encrypted DNS resolutions, so that a packet sniffer in the same network still can't guess what DNS has been requested?
Maybe, just thinking, by tunneling DNS requests through an HTTPS connection?
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Check out DNSCurve by Daniel J. Bernstein. It's stated main point:
Confidentiality: DNS requests and responses today are completely unencrypted and are broadcast to any attacker who cares to look. DNSCurve encrypts all DNS packets.