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Unfortunately the main problem is that Android devices allow arbitrary packages to be installed. There will always be someone willing and able to crack and distribute any given app that relies solely on client-side security. Your best bet is to roll your own obscure anti-piracy and hope you get most of your sales in the first few days, or look at a solution based on IAP receipts.

The same problem exists on iOS, but jailbreaking is an extra inconvenience that only 10% or so of users will accept.

Also I doubt many users think twice about downloading a pirated app nowadays (and they should, due to the very real threat of trojans). It's been over a decade since "don't copy that floppy" was replaced by the music/film industry's crusade.

If you foster a positive community relationship, you don't get hurt as bad by it. I don't think its really worth the struggle. (See Swype for example, people would just like for them to take their money, I still don't know if you can buy it yet.)

The following is a good talk given at this year's Google I/O on how to use secure Android applications:

http://www.google.com/events/io/2011/sessions/evading-pirate...