[syrrim]

In order to prevent anything, you would need to register every combination of latin and cyrilic. For a short domain like "epic" this constitutes 16 domains. For a 7 character domain it would be 128 domains. In either case it would be a heavy multiplier on the base cost of the domain.

[MiddleEndian]

I don't think you're allowed to combine Latin and Cyrillic in a domain name. The issue is mainly that the two sets have identical looking characters.