My impression is the problem is real.

I also like the principle of a web of thrust, and I feel like it would be a good option within a community built Internet.

I was attracted by the principle of dot-bit (namecoin: https://bit.namecoin.info/), but as I am realizing that bitcoin will tend to be unsustainable and highly ressource consuming as time goes, I fear the same problem would lead to a real weakness for a DNS alternative.

Is there already work done for Internet services based on a WOT ?