I don't foresee any major problems, except that there might be a greater tendency to "freeload" on the network. That is something that can be addressed by the developers by implementing some "rules" (ie., force download directory as shared upload directory, limit search results based on the number of files shared, etc.)

Yes, some of these "rules" can be circumvented if someone really wanted to do so, but that would not be beneficial to anyone on the network, including that person in particular.

Nonetheless, I highly recommend that the Morpheus' dev team participates actively in forums or mailing lists. I understand that the current Morpheus PE is a "hasty, interim solution" for their current problem. But they sure could use a little help from the Gnutella developers community to enhance their client for their own and general Gnutella network's benefit.