It would be hard to claim to be a dns service which helps protect your privacy while also forwarding your subnet info on to other DNS servers.
Cloudflare has a large number of PoPs and are increasing them rapidly. If the service is distributed to them all than the authoritative server is likely to give a response that is similar to that it would have provided if the subnet had been explicitly provided since the Cloudflare PoP sending the request will be located network wise close to the client that originally made the request. This isn't always going to be true but the slightly higher odds that you will not connect to the optimal location for the service you are connecting to is probably worth the increase in privacy.