Group project to catalog and list domain names that people may want to block.
Current focus on corporations, for which there are no other maintained lists.
Files in this project list the domain names of servers, one per line that can be added to your local hosts file to tell your computer to never talk to servers on that domain name.
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"This would be so much cleaner if one were writing this as a dnsmasq config"
Yes. If you want that solution, see dnsmasq and projects like these FreeContributor.
This path requires more technical skill than adding entries to your hosts file, and can work better in some ways.