I think this is exactly the future for non-giant-corpo internet
The problem is DNS and access to the IP network
So if you can figure out how to build reliable DNS access/approvals with cloudflare etc then it would work
The biggest challenge at the largest scale is political because then you’re gonna be fighting all of the ISP’s and the giant technology companies and ultimately they’re never going to allow for this
Either take it over on their own by offering their own service which people would sign up for
or they’ll just pressure every ISP or certificate authority to not recognize routes that are not going through “allowed” data centers,
most likely you would end up with a series of state bills or even a federal regulation that prevents data routing for public consumption unless it in some kind of “security standard” or whatever bullshit they come up with