As far as I understand this doesn't encrypt communication but authenticates it to ensure it hasn't been tampered with. So it's still out in the open. I also don't understand what the benefit over DNSSEC is.
Edit: Nvm, DNSSEC still has to trust the validating resolver, DNSCrypt solves this.
Edit: Nvm, DNSSEC still has to trust the validating resolver, DNSCrypt solves this.