This was buried in some debate about personal issues in
this thread, so I'm repasting here for feedback:
ProblemCreating a new account requires use of an ugly Bitcoin-style hash address to receive funds. This is not intuitive for most users. In other words, you must have BTS in your wallet in order to register a new account, but you cannot receive BTS easily without already having an account (chicken and egg problem).
Proposed SolutionWe create a transaction type that involves registering a "free-floating" account name and a password hash. This "free floating" name could then be "claimed" by any wallet by simply broadcasting a transaction that proves they are in possession of the password. This way, faucets and exchanges could pay for account registrations using the regular security mechanisms (captcha) and broadcast those names as free-floating registered accounts. Then a user would simply launch their client, enter the password they have chosen, and link the registered account name to their private keys. "Free-floating" accounts would be ineligible to receive funds until claimed. Here is a step-by-step illustration:
1) User launches their client which says "visit any of the following sites to register your account: BTSfaucet.com, BTSregister.com, Bter.com, etc. etc.
2) User visits one of those sites (possibly in a web view, or in their own browser)
3) The site has a captcha or requires email verification or whatever else to prevent spam. After passing the challenge, the site asks the user to select a username and a password (at least 10 characters - no need to be super-secure here). The site broadcasts a "free floating" account registration (including fee) and redirects the user back to their client ("Done! Now just open your client to claim your username").
4) The user returns to their client and enters the new username and password to generate a new transaction claiming the username (ie, linking the username to the private keys of that particular client).
The “chicken and egg” problem is not due to a lack of funds. Plenty of faucets and exchanges would pay for the .01 BTS necessary to register accounts. The real problem is the use of the “ugly hash” to receive that first transaction My solution solves this issue directly, without making payment-free registration (which is not necessary).