So this is like BrowserID/Persona but instead of including the third-party email service to prove identification, the only credentials are on device/in-browser, right? I assume that if you only connect one computer (authenticator) and lose the device, you're either SOL or the service has some workaround where you pre-register an email address or a separate "Login With" service.
Eg your password manager could implement this so all you'd have to do is click "log in" and you'd be in, without usernames or passwords to remember or steal.