Thanks @GICodeWarrior for taking time commenting on the article. Shamefully, I can already imagine a scenario on how the attack could be carried out.
Fortunately, the vulnerability can be corrected by introducing escapejs template filter. Big thanks to @gynvael.
Encoding for each scenario can be quite complex unfortunately. Django does have some template filters to help.
I recommend following the documentation carefully, and using a JSON API or other similarly standard mechanism if the documented options are insufficient.
