Re: Making Non-compliant Encryption Illegal
Here's where it gets interesting (for "they've just used 1984 as a handbook again" values of interesting).
Everyone will have to use the official crypto. So the bad guys use their own crypto which is then superencrypted with the official crypto. Even with deep-packet inspection it all seems kosher (or al Halal).
The only way the authorities could tell that anyone was using good crypto underneath the official crypto is to decrypt all official crypto. Just to see if any bad guys are using good crypto underneath it.
So you can pretty much guarantee that this is what will happen. There might be legislation justifying it or, more likely, it will just be done illegally (like so much else in the war against terraist paedophiles). And once they're decrypting everyone's stuff, eventually they'll start checking for other activities (again, there might be legislation permitting this or they might do it illegally).
Experience has shown that slippery slopes are the norm when the spooks are involved, and eventually some local council employee will be checking your messages to see if you've told somebody that last week you put a glass bottle in your non-recyclable waste.
And so the bad guys will resort to codes. Not the telegraphic codes which are information dense and look like GLOPT AYZNV but the steganographic types that look like normal conversation.
BTW, my next-door neighbour just got a new orange, male kitten. She calls him Biscuits because he has ginger nuts.