I don't know if US ISPs do that, but it can be done.
https://arstechnica.com/tech-policy/2019/01/t-mobile-sprint-...
If the big players are selling DNS data, I guarantee you there are companies out there approaching every other smaller ISP with a turnkey solution that makes it as easy as possible to do the same thing with some kind of revenue share model.
Not a lot of businesses would turn down extra money like that, when they know their big competitors are doing the same thing.
Unlike most ISPs, privacy and security are a core part of Cloudflare's brand and business model - at least at the moment - so it's in their own interest to actually not do this stuff.
Only time will tell whether or not they pull a "don't don't be evil" on us, but that's a different conversation. :-)
And yes, I know a cheap router can easily fix this problem. I just haven't had the time..
I have it installed a few different places on a few networks (Ubiquity, DDWRT, OPNSense, DNSMasq), and it works as expected.
2) I thought we were just talking about defaults? Firefox DoH lets you choose any server too