Martin Lambers:
That's true if we do DNS ourselves (necessary for SOCKS4, optional for SOCKS5), but we want the proxy to do it for us, especially in the context of Tor usage, and then SOCKS5 is different (simpler) than SOCKS4.
The Tor Project recommends SOCKS 4a over SOCKS 5 against DNS leaks: https://www.torproject.org/docs/faq#WarningsAboutSOCKSandDNSInformationLeaks
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