I had the same problem when upgrading from 9.1.11 to 10.0.7. I found out what "botnet-domains" were by looking at the CLI's "set" commands: SSH into Palo Alto device > then enter this:
set cli pager off
set cli terminal width 500
set cli scripting-mode on
set cli config-output-format set
To get rid of the missing DNS license warning, you have to set allow/disable not only in the "default-paloalto-dns" line, but also on all other lines below "DNS Security" in Palo Alto's GUI.
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