A worthwhile idea Rated 3 out of 5 stars
We need to find elegant ways to draw the users' attention to the domains they are accessing. SSL certificates only work if A) the user verifies the domain they are visiting, B) they are wary of certificate warnings as a sign of attack.
However, I think the way Locationbar2 shifts the URL information around would be more unsettling than clarifying to most people. If I were designing such an add-on, I would take a simpler approach and simply make the non-domain parts grey (or else, render only the domain in dark-red, bold lettering).
The de-escaping feature is a keeper.
But I am sorry I just cannot agree with a re-working of URL display that results in something that looks like the following:
What is the user supposed to think after they have arrived at this page from an off-site link? That they are viewing a site called "comments.pl"?
I sincerely hope this is not going to be the default for Firefox 3, as I fear it would add confusion not alleviate it.