[everfree]

How would you accomplish PKI in such a way that would allow people to rotate keys to keep their account secure, but without allowing them to rotate their key into a different person's custody, thus doing a de-facto transaction that would enable someone to integrate the system with an exchange and put a price on account balances?

Also, what kind of consensus mechanism would you use, with the understanding that without a way to transfer/sell balances, Proof of Work degenerates quickly into a 51% attack, and Proof of Stake is infeasible? Or do you have a different idea in mind to decentralize such a system?

I'm asking these questions because knowing what I do about decentralized systems, in the end I can't see any way around a system like this having transferable balances. Either that or you centralize the part of it that keeps track of the network's history, making it basically akin to a big git repository.

[Aeolun]

> without allowing them to rotate their key into a different person's custody, thus doing a de-facto transaction that would enable someone to integrate the system with an exchange and put a price on account balances?

I don’t think this is possible in the first place. Someone will always be able to go around the system entirely and give someone their entire account. If somone wishes to sell all their names at the same time (or make one account per domain so they can sell it), there’s little to prevent that. I think making it harder is probably more trouble than it is worth for most malicious actors though (especially as they have to work with each individual account to retain the domains).

As to consensus mechanism, I have no idea. I don’t have enough experience with such systems to say one way or another.