Some of them are mutually exclusive, e.g. you can either set Pi-hole's upstream DNS servers via UI or through env vars.
Could you share your docker compose or docker run script?
That is normal client behaviour, not something that Pi-hole can control:
A client may opt to append local/search domains to any given domain, e.g. nslookup may do so, resulting in at least 4 DNS requests (for A and AAAA with and without search domain appended).
Is fractal the name of the machine hosting your Pi-hole?
If so, that may be explained by another missing environment variable.
When inspecting your debug log, I overlooked that you haven't set your container's IPv4 address - apologies for that:
-rw-rw-r-- 1 pihole root 157 Feb 1 21:32 /etc/pihole/pihole-FTL.conf
MACVENDORDB=/macvendor.db
LOCAL_IPV4=0.0.0.0
To address this, you should set FTLCONF_LOCAL_IPV4 to your host's IPv4 address.
You should probably note that TrueNAS is not supported by Pi-hole - specifically, the Pi-hole team does not develop nor endorse a TrueNAS Pi-hole app that some users have reported to use.
If that TrueNAS Pi-hole app is just a wrapper around Pi-hole's official Docker image, then it should run, provided the container is configured correctly.
If you are running that TrueNAS app, you may want to inform the developers of that app that they are missing out on proper configuration and/or documentation of their Pi-hole container.