Out of curiosity I’ve tried to configure kresd (by following Dnsmasq .lan domain while still using knot resolver post)…
What worked for me under OpenVPN was to change IP address from 192.168.1.1 to 10.111.111.1, so now I have following in /etc/config/openvpn:
list push 'dhcp-option DNS 10.111.111.1'
Output from dig command helped a lot with debugging as with 192.168.1.1 IP the result was:
$ dig @192.168.1.1 -t ANY omnia.lan
;; reply from unexpected source: 10.111.111.1#53, expected 192.168.1.1#53