Please know this is the first exposure this project has ever had. I really did try, in my spare time, to get this thing perfect before soliciting feedback from this wondrous community but -- alas! -- there be bugs. It's this kind of feedback that I was seeking and I intend to incorporate as I drive towards a broader release.
Part of what I'm trying to validate is exactly the point you raised: will people generally be too freaked out to store their browsing history "in the cloud"?
The next thing I'm hoping to determine is if it'll be enough to encrypt this content is such a way that people are OK with it being stored externally or if only a locally installed version will do. Security aside, there's a great deal of advantage to offer this service hosted.
Thanks for your feedback!