Thank you Anon136 for that education!

OK, assuming for the purposes of this question that more centralization is not a concern or that it can be sufficiently thwarted with Peercoin's hybrid proof-of-stake/proof-of-ownership model, are there any other problems for the senders/receivers?

Does the system inherently break down because of the many orphan blocks?  I have heard this is the case but not the explanation why.

The failure of currencies such as Smallchange and Mincoin have been cited as practical examples of the limitation of high speed verification, but I can find nothing that blames the verification speed itself, only bad support or ill-prepared and ill-executed protocol updates.

Can a cryptocurrency with a high verification speed succeed in terms of security and reliability?

Also, saw some of your posts on SmallChange.  Thank you for the information!  Could you go into detail on this?  https://bitcointalk.org/index.php?topic=182430.msg1912491#msg1912491  Why do confirmations give no security at all?

Also, how is the 20%er able to create his own chain?  Won't the rest of the network see that his verifications are false?  https://bitcointalk.org/index.php?topic=182430.msg1922820#msg1922820