Do you see anything in the following output?
Dec 28 12:36:30 dnsmasq[657]: query[A] dnscrypt.me from 192.168.5.147
Dec 28 12:36:30 dnsmasq[657]: forwarded dnscrypt.me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[657]: dnssec-query[DS] me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[657]: dnssec-query[DNSKEY] . to 127.0.0.1
Dec 28 12:36:30 dnsmasq[657]: reply dnscrypt.me is 104.31.74.114
Dec 28 12:36:30 dnsmasq[657]: reply dnscrypt.me is 104.31.75.114
Dec 28 12:36:30 dnsmasq[1351]: query[A] dnscrypt.me from 192.168.5.147
Dec 28 12:36:30 dnsmasq[1351]: forwarded dnscrypt.me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: dnssec-query[DS] me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: dnssec-query[DNSKEY] . to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: reply . is DNSKEY keytag 19036, algo 8
Dec 28 12:36:30 dnsmasq[1351]: reply . is DNSKEY keytag 20326, algo 8
Dec 28 12:36:30 dnsmasq[1351]: reply . is DNSKEY keytag 16749, algo 8
Dec 28 12:36:30 dnsmasq[1351]: reply . is DNSKEY keytag 2134, algo 8
Dec 28 12:36:30 dnsmasq[1351]: reply me is DS keytag 2569, algo 7, digest 1
Dec 28 12:36:30 dnsmasq[1351]: reply me is DS keytag 2569, algo 7, digest 2
Dec 28 12:36:30 dnsmasq[1351]: dnssec-query[DS] dnscrypt.me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: dnssec-query[DNSKEY] me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: reply me is DNSKEY keytag 59048, algo 7
Dec 28 12:36:30 dnsmasq[1351]: reply me is DNSKEY keytag 2569, algo 7
Dec 28 12:36:30 dnsmasq[1351]: reply me is DNSKEY keytag 53233, algo 7
Dec 28 12:36:30 dnsmasq[1351]: reply me is DNSKEY keytag 2735, algo 7
Dec 28 12:36:30 dnsmasq[1351]: reply dnscrypt.me is DS keytag 2371, algo 13, digest 2
Dec 28 12:36:30 dnsmasq[1351]: dnssec-query[DNSKEY] dnscrypt.me to 127.0.0.1
Dec 28 12:36:30 dnsmasq[1351]: reply dnscrypt.me is DNSKEY keytag 2371, algo 13
Dec 28 12:36:30 dnsmasq[1351]: reply dnscrypt.me is DNSKEY keytag 34505, algo 13
Dec 28 12:36:30 dnsmasq[1351]: validation result is SECURE
Dec 28 12:36:30 dnsmasq[1351]: reply dnscrypt.me is 104.31.75.114
Dec 28 12:36:30 dnsmasq[1351]: reply dnscrypt.me is 104.31.74.114