When I proposed (PDF) that the State of Utah move from the state.ut.us domain they'd been using to the more easily branded utah.gov, Al Mansel, the President of the Utah Senate asked me why he couldn't have utah.leg since "gov" meant governor (don't ask). Now, he can.
Opening up TLDs and allowing other than ASCII characters is, as they say, a huge step. I hope it's not one into the abyss.