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I thought pypy had a sandboxed mode, did you get to experiment with it? if you did, what did you think?

Have you experimented with using linux's cgroups for real security? (e.g. you can white/black-list specific syscalls, set time & memory limits etc, all at the kernel level)

Example sandbox: https://github.com/thestinger/playpen

pypy has a fairly advanced sandbox, and as a side effect your code will probably run faster.