Yes, it is a deterministic wallet. In hindsight I realize is not precisely the purpose of this original post, but it is related. Pywallet is the perfect tool for enabling this technique. The command line interface would look like:
./pywallet.py --create-deterministic-wallet --generator-key=random256bit.bin --numkeys 10000 -o wallet.dat
This would calculate the first 10,000 keys based on the generator, and add them to key pool in wallet.dat. If you run out of keys, you can re-run with a higher number, and it will add the new keys to it. Perhaps it could eventually be included in the client so you never have to run anything: just create your generator-key once, back it up, and the client will create endless keys from it.
You don't have to be snarky about the idea... it's simply a suggestion and you guys are a very short way from having this enabled using pywallet.py. If you don't like it, let's have a discussion about what problems it might have and how they could be resolved.
Also, I don't know why you would question the security of safe-deposit boxes, but that wasn't the point at all. People want to be able to backup their wallet
once and know that they always have a backup somewhere
they consider safe in case their hard-drive fails. With the current wallets, they have to backup every 100 transactions. Additionally, there is no warning when their key pool is exhausted, so there's a risk of using non-backed-up keys without realizing it. This deterministic wallet solves a lot of problems, and I don't see where the reduced security is.