Isn't DNS-level blocking strictly less capable than even the nerfed Manifest V3 filtering API? V3 can still block at a more granular level than nuking entire hostnames AFAIK, even if it's not as granular as V2.
Yes, I didn't intend to suggest it a replacement for a strong ad block but if v3 neuters it for those who don't want to or can't swap browsers.
Also a big benefit of DNS level blocking is it can block telemetry other unwanted network traffic (unless connection by IP or some other wizardry), for instance how often my TV attempts to phone home.
DNS blocking gets you 90% of the way there, though. (And the only way to block your smart fridge from phoning home)