It could though. My associate Jorge Timon and I have worked out a protocol by which this could occur whithout increasing the storage requirements of validation nodes. Applying the principles of Henry George's land tax, you could then charge a percentage fee based on the highest bid value.

But then again, for domains there's something to be said for first-come-first-serve protection.

Have you written up that protocol? Sounds pretty interesting.

I described it on the developer IRC channel. It'll get written up eventually. It's a simple application of this data structure:

http://sourceforge.net/mailarchive/message.php?msg_id=317705...

With some new opcodes.