Wow, nice and simple. Is that list available in some repository? would like to implement that since I run a dnsmasq bearing router at my home border as well.
I do the same - my approach was to take some of the popular /etc/hosts files (like http://someonewhocares.org/hosts/zero) and sed them into dnsmasq format:
# before: 0.0.0.0 evil.biz
# after: address=/evil.biz/0.0.0.0
sed 's#^0\.0\.0\.0[[:space:]]*\([^:]*\)$#address=/\1/0.0.0.0#'
which goes in a file in /etc/dnsmasq.d/, with this line in /etc/dnsmasq.conf:
conf-dir=/etc/dnsmasq.d
The results can be trimmed a lot, e.g. if you have rules for a.evil.biz and b.evil.biz, you can usually reduce those to a rule for just evil.biz. I wrote some scripts to help with this, which are now at https://petedeas.co.uk/dnsmasq/. I might write something up about the process later.
I loathe ads and tracking. I run ublock origin/https everywhere/privacy badger (the latter of those 2 are from the EFF).
I run a dedicated pfsense machine (old optiplex 755 with an old ssd) I added a nic to it. All network traffic must physically flow through it (1 nic goes to lan 1 goes directly to the cable modem). It's running pfblockerng and DNSBL with a bunch of sources. It's amazing. I can watch youtube videos on my smart tv in the living room streaming with 0 ads.
Probably Pi-Hole running on. Raspberry Pi. https://pi-hole.net