I have developed a design that has all the advantages Vitalik describes for private block chains, but on a public block chain.
The scalability white paper he linked to in that article is a more abstract and generalized description of the scalability design I had also invented around the time he published this paper. This is the first time I've seen this research.
Afaics his abstract paper does not deal with some of the intricacies of the economics that have to be solved in order to make the design actually work in the real world. Also he apparently hasn't realized that it is possible to filter out a 51% attack.
