True but if you look at the DNSCurve website ( http://dnscurve.org/ ) he does state that it "is part of a larger project to encrypt and authenticate all Internet packets."
Encrypting and authenticating all Internet packets by adding application-level crypto to each and every protocol in use seems like a Sisyphean task to me. IPSec is more ambitious because it is lower in the protocol stack, but if you really want to encrypt all the traffic on the Internet, that seems like a more plausible approach to me.
