Have you ever tried to sign up for a Github account? Last I checked they made you perform a bunch of scary crypto stuff on your local machine before they'd let you in. I gave up at that step, as it would have required downloading and installing a bunch of random software to pull off. No idea why they would make people do that (and it's why I still don't have a github account), but...
To limit your service to only accept customers who have navigated that minefield? Sounds like the ultimate form of adding friction to your signup process.