I've seen this discussion before :P But I think no matter what, priotity should lay at the hands of the Admins checking the script. It is important to keep safety on a high pitch to make sure nothing bad happens to people's accounts.
A untested-sdn could be a good idea if people get well explained that the scripts have not been verrified by admins. This will still remain the protection of the script source and a fast way to let other people of the community test your scripts. It's just really important that people get noticed whenever they run an 'unverrified-SDN' script that it still is unverrified and that the script CAN contain password-stealing code.
I heard maxi saying that they protected this client against code like this, but you never know what people can do... I do not know if it is 100% impossible