1. What marketing/incentivisation are you planning to ensure a plentiful userbase?
I appreciate you are still in the development stage atm, but do you have any solid plans about this yet that would give potential investors confidence?
I am planning to have some cool features implemented by the end of November. Everyone who gives them a try will definitely become an Nxt addict. Sounds like a solid plan, doesn't it?
2. Is the domain name registration really any different to Namecoin? And is having a competing system really a good idea?
Your sole grievance with NMC appears to be that it is not AUTOMATICALLY browser-integrated. But your solution seems to amount to no more than installing some sort of browser plug-in alongside the client - I fail to see how this is not (trivially) possible with Namecoin? Anyone could just make an installer package that includes a .bit DNS resolver plug-in as well as namecoind/Namecoin-QT client.
It is arguable if Nxt DNS is really different to Namecoin. But Nxt has one big advantage -- it will work from the box. While Namecoin developers are talking/planning/dreaming I write the code. I don't think Namecoin is a competitor, once Nxt DNS is launched NMC will become just an altcoin.
Also, your "no transfer" of domain names between addresses probably wouldn't work in practice, because people would simply sell the private keys for the addresses themselves.
How will you make sure the dude will not sell the private keys to someone else nor he use them for phishing?
3. Will the file storage only be for "official" files (like the client), or will anyone be able to upload files?
I like the notion of storing the client on the blockchain - although this of course will only be the official client, and will not include any third-party clients. Also, if file storage ON THE BLOCKCHAIN is available to everyone, even if it is expensive, then the potential for blockchain bloat is enormous (also it will preclude the possibility of implementing some sort of mini-blockchain system). There is
possibly an alternative - an idea I came up with a few days ago, though only managed to work out a couple of features (it may yet be impossible). (
https://bitcointalk.org/index.php?topic=326808.0). The basic idea is that peers contribute storage space (measured in gibibytehours) and are rewarded for it in coins (could be a "coloured" altcoin on the NXT chain) which they can then either use to pay for file storage or can sell via exchanges to other users who want to buy storage. How the reward system should work, or the paying-for-storage, I have yet to devise; but I have already found a way to link uploaded files to coin addresses. I should warn you though, that idea is very rough (and possibly impossible) to implement.
File storage will work for any files. There is no difference what bloats the blockchain -- payment transactions or files. It is okay while fees are paid. Annual shrinking will get rid of all files so they must be uploaded again. At the moment the blockchain is limited to 16 GiB per year, not a big deal to download 8 GiB in average.
4. What protocol improvements (over bitcoin) are you considering implementing?
You've already mentioned faster transaction times, PoS over PoW, and some new types of contracts; I think you also mentioned somewhere about coloured coins (or equivalent). But what about things like "mini-blockchain" (or one of the equivalent proposals like CoinWitness)? (Though in fairness that is perhaps best done on a client-level: users decide how much of the blockchain they want to validate and store locally, and the rest they get from their peers). What about "ZeroCoin" (although the current proposal is quite impractical due to validation times etc.)? What about "micro-payment channels"?
At the lowest level it is Messaging (includes contracts, file storage, DNS), Colored Coins, Voting System, Reputation System. At higher (user-friendly) level it is Library, Shops (like decentralized app store), Asset Exchange, etc. Extra functionality can be added via yet-to-be-nailed Service Providing based on subscription paid with NXT. Mini-blockchains perfectly fit into Service Providing, by the way, big files can be stored with SP as well.