There is no way this isn't going to open up massive security holes. Even if the browser puts up alert after alert, people are just going to randomly click buttons and then all of a sudden wonder why some random web app is deleting all their files and adding malware. And the spec docs aren't exactly reassuring. This is an exact quote! "This API could be used by websites to try to store and/or execute malware on the us…
This is just a variation on as far as read-access is concerned. For write access, it certainly could be used to store malware on a user's system, but so can "Save As" or clicking a link with HTTP headers that triggers a download. Basically, the "Save As" dialog from browsers have the same issues. It is not downloading malware that is the issue, it's executing it. So unless you can trick the user into navigating to an…
Lots of executables on Windows link to DLLs that are not protected by the "KnownDLLs" protection. This means that if you can save a malicious DLL next to that executable you can make a perfectly legitimate executable run malicious code.
I haven't read into the API yet to determine how it protects against this, but it's definitely more nuanced than the argument you're making.