From reading the bounty page (http://iwantmyopenid.org/bounty), I see this: "Implement OpenID 2.0 support as a Relying Party (RP) or Identity Provider (IdP)" -- I'm assuming that for the bounty they want the app to work both as an OpenID client and server, but this seems to imply that just one would do it. Do they mean *and* instead of *or* ?
I was wondering about that too ... I think though that this has to be AND for consideration into core Drupal. We have always shipped with an authentication server and an auth client. I don't see us switching to a new system without both components in place. I'm subscribed to the DA group on the groups site. Thats a good place for detailed discussions on this: http://groups.drupal.org/distributed-authentication I'd love to see this happen for Drupal. I will help.