Wouldn't it be possible for H20 to set up several servers mining different coins and have everyone hit just one server and balance out the hashing so that newer coins dont get hit hard? Reward would be proportional to accepted hash rate and not what particular coin mined to make it fair.
It is possible, but all the code will have to be re-written which is indeed a huge lot of work. This kind of pool will be Middlecoin's killer sooner or later
Tbh, if the source code is well designed it shouldn't be rewritten completely at all. Decent coding is easy to adapt/change or extend. But as most or all is written by one person, chances are that the coding is done without care for design, structure and transparency.