I also do not think that the government will swoop in and take people's drones unless they are doing something wrong. AFAIK drones don't have transponders in them, so it may be an issue if people are flying around an airport. (within 5 nautical miles of an airport with an air traffic control tower)

Some people don't know this rule, and so they may end up getting in trouble if they are flying in the boundries and they are caught by someone from the FAA. Flying for personal use is not a problem, and the problem that they were facing before was finding the pilot in command (PIC) of whatever drone was found. They plan on having some kind of registration to tag that drone to a person. What if someone steals my drone? Then am I still liable? (the answer to this is YES, unless you find a way to report it stolen) That's a whole other issue.

Geofencing (Cutting off an area or making it a no-fly zone because it is near some facility) would be a problem for people that have a business that requires drones. Currently, in order to fly near an airport, (MUST HAVE EXEMPTION) one must complete a Certificate of Waiver or a COA that will allow them to schedule a time with the airport tower so that they can fly in and around the area. If they approve that flight, but have a geofence up, then drones won't be able to fly. I highly doubt the geofence thing will happen.

I think it will more likely be that when you register your drone, you will probably have to put your registration number on your drone. That way, if it is found, they can tag that drone back to whoever the pilot was that registered it.

I don't think there is really anything to fear as far as flying for personal use. The FAA needs to be able to keep control of the drones in the air, because we don't want to put anyone in danger that is in a plane.

Fly responsibly, and know the rules, you shouldn't have any problems.