Even if that means a new protocol that uses SSL to send the javascript, etc., and we're 15 years away.
Do you think designing a system where the server never sees (or has the opportunity to store) the plaintext password is the way of the future?
(Edit: more emphasis on future, not short term, ambitions.)
http://srp.stanford.edu/whatisit.html
http://www.ietf.org/rfc/rfc5054.txt
Now, if only more browsers would support it.
Seems to me storing hashes and nonces does not work, because without the original password the server can not create new hashes and nonces. So the client would still always send the same thing, which would be equivalent to a password.
one time during undergrad I was talking with Hal Abelson because there was this big stink about the new research building (Stata center) requiring rfid's to get around. Richard Stallman et al were making a huge ruckus about the privacy implications of not having physical keys.
I mentioned some desired attributes of a protocol to let people in without logging it, and started worrying about the implementation details / feasibility. he said "oh don't worry about implementation. this building has people in it who can implement anything." he had this smirk about him.
so give it some experts and time and they'll figure it out.
You mean things like 1password. That's fine. I use Keychain and head /dev/random | md5 for any password I don't have to remember.