Came here to ask the same thing.
Being a developer myself, are there a lot of changes that have to be implemented in order to make it word with a pruned node?

One thing worth commending is your desire to experiment with ideas.

But the substanse of your proposal doesn't bring any innovation that cannot be achieved by simpler means.
The Bitcoin Bank must be a reputable organization so that both merchants and users can deposit btc in their accounts and not fear losing it.
We already have the likes of Coinbase.

Bitpay can reverse payments if merchant was fraudulent. And if Bitpay also adopts some kind of GreenAddress-like functionality, they can offer true instant transactions.

This checks off everything on your "Features and benefits" list.

Except for maybe security where you propose to store btc in a bank because a bank is less likely to be hacked that one's computer. But who in this age of hardware wallets stores significant amounts of btc on their laptops?

Good luck with your further research.

@Sylz, I'll need much more context for what you are asking, but the short answer is
you can use tlsnotary-based PageSigner to create a transferable proof of e.g. blockchain.info's webpage showing the payment/transaction.

Is it sensible to require JM makers to do some proof-of-work to disincentivize the destruction of the market by the volunteers?

is this fiat-btc or is this high-frequency trading?

OK, did read a little further to see that you reassure the reader that you are on the up and up.
How will you prove that the smartcard is not generating random-looking private keys which in fact are not random but have some deterministic element?

@drazvan
I stopped reading the whitepaper to ask here first.
So, you will not open source OpenCoin firmware and yet you suggest people simply trust you and risk their funds?

This doesn't make sense. I must be misunderstanding something.

No need to embed images, just upload it to imgur and paste a link here.

This is exactly the problem which TLSNotary/PageSigner solves. You can show your online bank statement page without handing over your login credentials.
https://tlsnotary.org/pagesigner.html

I updated the OP to include the link to the new setup instruction:
https://github.com/tlsnotary/pagesigner-oracles

PageSigner now uses AWS oracles to enable transferable proofs of https:// pages.
https://tlsnotary.org/pagesigner.html

have you look at TLSNotary. It allows you to prove your fiat account's webpage. Although this proof is not non-interactive. You can prove it only to a specific entity which must also be online at the time of the audit.

Kudos for this howto: very easy to follow.

Are there any safeguards in place to protect DH's customers' hosted content from a potential rogue employee's abuse?

Would it be possible to create a data feed in Augur with e.g. an hourly fiat exchange rate update?

We are happy to report that https://bitbargain.co.uk (a fiat<->btc marketplace) told us that they successfully used TLSNotary in an unusual case where bank lost the buyer's payment.

Even though https://bitbargain.co.uk processes ~300 trades per day, twice a year they'll have a situation where there is no way to resolve a disagreement between reputable parties.

Using TLSNotary the seller showed to the BitBargain staff their online bank's statement page (with a cryptographic proof) without revealing their bank's login/password. Good times.

If you type electrum help, you'll see a list of API calls to the wallet.
You can do electrum listaddresses, then choose an address and do electrum setlabel 1MyAddr.. mylabel

Would it be possible to create a data feed in Augur with e.g. an hourly fiat exchange rate update?

Nice project.
Not sure who was the first exchange to use multi-sig, but https://bitalo.com has been around for a year now.

Also, I suggest that you take your innovation one step further and create a p2p exchange just like https://bitsquare.io is doing.

You will also want to use a fiat bank transfer dispute resolution tool https://tlsnotary.org

An in-house server to show videos? Why not give the tourist a website URL to browse?

Even if every single person on the planet has an ePlug mining at (generously) 1000 hashes per second, you'd only get 7bil*1000=7Thash/sec. Juxtaposing this to the current 300000Thash/sec the whole planet cumulatively would earn a few dozen usd per day.