Wallet encryption is long overdue, and AFAIK is coming in the next client version (0.4.0). What are the next planned milestones in the development of the main client and/or protocol? Where can I find information about that?
Currently, they are working on: - wallet encryption - private key import/export - test suite for testing bitcoin clients/libraries - m-of-n signature "standard transaction"
Source: mailing list
They discuss the development at http://sourceforge.net/mailarchive/forum.php?forum_name=bitcoin-development