Yes, I really liked that project and I think the design is fantastic (it leverages WebKit for rendering).
Both TermKit and this project will have an interesting dilemma with editing remote files though. The advantage of SSH is that you really aren't storing any remote files locally (only the currently visible characters are stored in memory). An editor that uses this new model and eliminates lag requires transfer of remote files to the local computer. There are a lot of situations where this is not a viable option.
A very good point. My prototype protocol, rwr, reads only the data in the file it has to know. Additionally, when one inserts a character it simply says "insert 'a' at byte 4", rather than having to stream the entire file. That's another benefit of running filesystem models as daemons on remote servers.
Both TermKit and this project will have an interesting dilemma with editing remote files though. The advantage of SSH is that you really aren't storing any remote files locally (only the currently visible characters are stored in memory). An editor that uses this new model and eliminates lag requires transfer of remote files to the local computer. There are a lot of situations where this is not a viable option.