Can anyone think of negative consequences for end-users? I imagine this is not really a practical attack vector on your YubiKey's 2FA keys or TPM disk encryption keys.
All the applications I can think of are unwanted just for DRM and other compute-freedom restrictions, which I see as a win. (See sibling comment from no_time).
Maybe one edge case would be things like SGX? IIUC being able to extract the secret keys would allow one to write an emulator that can run arbitrary code and pass remote attestation, while still being able to inspect (and modify) the code and data. This is something which feels at least somewhat useful and not fundamentally user-hostile. But my understanding is that the security model there might be broken regardless.
The SGX remote attestation key is burnt into the chip during manufacture and isn’t programmable.
Decrypting the firmware of ME or AMD PSP this way could totally work though.
Those guys allegedly have access to TEM labs. TEM is a much more impressive, and expensive piece of hardware than this.
Usually there are just a dozen of TEM labs per an industrialised country.