What is a DNS sinkhole
A DNS sinkhole is a little program that sits in between your computer and the DNS server that provides your internet lookups. It looks at all of your DNS requests in an unencrypted format. If a DNS lookup from your browser, mobile app or any other internet connected machine matches an entry it has in its "blocklist" then it returns a value of 0.0.0.0 (or some other customizable value including NXDOMAIN). But if the DNS entry is not on the blocklist, then that request will be forwarded to Cloudflare (1.1.1.1), Google (8.8.8.8), Quad9 (9.9.9.9) or other DNS provider and get an accurate value for the DNS lookup.
Most of the time, the blocklists consist of adware domains such as Google Ad Services, Facebook Ads, Amazon Ads, etc. This has the effect of removing ads from devices that normally are unable to block ads such as ads inside mobile apps, ads in Roku, etc.
how is it related to the content of the article?
The article indicated that the malicious spyware was transmitted through viewable ads on the target's mobile device. This is combated most effectively by using a DNS sinkhole.
I should note that the article does not mention if current blocklists would have thwarted this attack. However, it does say that the ads were transmitted, in some instances, via Google Ad services, which these blocklists do effectively target.