As long as we're bringing up 15-month-old posts...
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"We all know that we could sell our keys over and over on eBay"
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Someone is currently doing just that. I guess he's not concerned that his personal information (name, email address, postal address) is in the information he's "selling".
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If the developer was truly worried about people passing around keys he would have purchased one of a thousand different security wrappers that eliminate the possibility of passing keys. The wrapper currently used (armadillo) offers none of this protection.
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Actually, Armadillo does offer that, and Win96 used it prior to 01 March 2004. From the initial release until March 2004, keys were "hardware locked" - registration keys depended on a "hardware value" that was compiled from several machine-specific sources. A key generated for one PC wouldn't likely work on another. Unfortunately, that became a major headache - for me and for users. Moving to a new machine, or even replacing a network card, could invalidate a registration key. So, I switched from the "hardware locked" keys to keys based on "personal information".
EDIT: When the key system changed in March 2004, every registered user was invited via email to get a new, non-hardware-based key. Nearly all users took advantage of that; some did not (and now, more than 5 years later, seem to be discovering that their 5-year-old keys aren't working with new versions of Win96).
EDIT2: And some, who requested and were sent a new "non-hardware-based" key, are saying their original keys don't work... instead of using the "new format" keys they were sent in early March 2004.