This is an interesting topic. I think the only way it can work is if the users are only able to connect via external wallets. As you've said, it should just be a front end application. This could pave the way for digital identities. But I was actually expecting this to be done by the government to try and control and keep track of its citizen's digital moves. Obviously there will be KYC to make sure of the account's identity, and I don't think a lot of crypto users are fond of that.