The DNS setting listed above (192.168.1.1) is my home gateway, a UniFi Security Gateway. Your question did give me the idea to try 10.253.0.1 (WG server) and 192.168.8.1 (AXT1800) as DNS settings but unfortunately DNS failed to resolve any addresses at all in both cases.

Using 192.168.1.1 (USG) or a public DNS like 1.1.1.1 results in the same ping behavior as noted in the original post, where the correct 1.2.3.4 external IP is pinged, but the response always says it’s from 192.168.8.1. I checked dig and in both of these cases the response is the correct external IP, so it really seems something is amiss with the translation between external and internal IP (hairpin NAT?):

service.domain.com.	300	IN	CNAME	cname.domain.com.
cname.domain.com.	300	IN	A		1.2.3.4

The linked issue seems to be different, because in my case I can access everything on my LAN by direct IP and port when connected to WG on an external network, indicating to me that the firewall is letting traffic through properly.

Another thing I’ve tried is eliminating NAT on WG by removing PostUp and PostDown from the WG server config, adding a static route on my USG from 10.253.0.0/24 (WG subnet) to 192.168.1.10 (the Unraid server running WG), and adding a rule on my USG firewall to allow 10.253.0.0/24 (WG subnet) access to 192.168.1.0/24 (LAN subnet). but unfortunately the same behavior persisted.