It is a good idea that has been bounced back and forth at gnutella.com forums, which no longer exist. Some of us came up with the fact that even if we encyrpt the trafic, it would be hacked by a determined Riaa person. If we would go with a very good encryption method, even dual encryption, some nodes may not have the processing power to encrypt their trafic.

Also is there is a good encryption method, and no one could crack it, then there would be the open source programs such as Gnucleus, and LimeWire that would have the method in the open source. I am not saying open-source is bad, but in this case there would have to be a standardised encryption .dll or side program or something like that that is OS independent and that is not open-source. Which having a .dll would only work with windows clents, then a java baced program would have to be made to do the same thing for Linux, and Mac users. Or bace it completely in jave.

If you can overcome the problems, then more power to you, i happen to be kinda working on a similar scheme, but one that would be used only if there is a detected attack on a node in the localised aeria. It is kinda complicated though. If you have the time go for it, otherwise... well... go for it still!