Whoaa...I am not very technical, but the first question that comes to mind is, what would be a difference between this and what Tor attempts to accomplish?
Tor proxies your traffic through several random machines on the internet, so by the time it gets to the destination, no one knows who sent it.
This captures and relays your DNS queries to OpenDNS in a new way.
DNS queries are used to translate a site's name ( facebook.com ) into it's internet address - 123.456.789.
OpenDNS has run a service which did the translation for a long time, but when you ask them to translate, it passes through your ISP, so your ISP could, in theory, see what domain name you were asking about.
This has a way of encrypting the request, so that OpenDNS can answer the translation, without anyone but you being able to see what you asked for.
My ISP can see which IP addresses I connect to and can perform a reverse lookup. I don't think the privacy angle has any value. I suppose a shared host could serve multiple sites, but then simple packet snooping would reveal which hostname I am requesting.
