If you (re)read the blog post I'm referring to, you'll find that your concerns are very much addressed. I actually chose to refer to 'feudal security' as coine

If you (re)read the blog post I'm referring to, you'll find that your concerns are very much addressed. I actually chose to refer to 'feudal security' as coined by Schneier (at least in the context of computer security), because it is such a compelling and balanced approach to the exact same trade-offs you're describing.