The inability to get a TLS cert is an issue. I've been working on getlocalcert [1] as a free subdomain service for local networks. You get a valid domain, you can get a Let's Encrypt (or other ACME DNS-01 provider) cert. But you need to provide your own split DNS locally to resolve addresses. It's intended to fill the gap between paying for a domain or using a free domain service full of abuse.
Because you need to provide DNS locally, it's useless for the common abuse scenario (spam, phishing, illegal content). Unlike other free domain providers, I have never received an abuse notification.
I got on the public suffix list in the last few months. Lots more features I'd like to add, but my attention has been elsewhere.
[1] https://www.getlocalcert.net/