The main issue here is that all other services build upon the "Federation" of DNS. Meaning, e.g. google, microsoft, and all kind of other companies don't trust

The main issue here is that all other services build upon the "Federation" of DNS. Meaning, e.g. google, microsoft, and all kind of other companies don't trust each other but fundamentally they are connected by DNS which allows all kinds of scary attacks. Solving the problem with Crypto is cool, SSL Userland Certificates was also such a try but is not going to work because in this case the costs outweigh the benefits. Meaning that the increased crypto will require us to run many more machines to serve current loads of DNS usage. There are also attempts to build crypto direct into the TCP/IP aehm. ISO OSI model as a more fundamental approach to really encrypt all traffic. If this ever will be realized on a greater scale is doubtful again because people tend to look at the costs/benefit/trouble tradeoff. (in favor of costs).