After para 1, I was going to ask "what's to stop someone from tossing a solution in a pastebin and sharing it around?" Related, "what's to stop someone from sharing the questions ahead of time?"
From the second, it sounds like you guys will seek out the top performers and weed out the bozos. I like it! Are you looking at a traditional recruiter fee model or something else? Apologies if this is posted somewhere else.