I think it would be good to store pet and edgenames in an encrypted way, so that users don’t leak each others real names.
Discussion
I see what you mean, but the point of petnames, for me, is to allow others to see how you refer to each contact, so it must be public by necessity. I do think we need apps that keep private contact lists, stored locally or saved as encrypted blobs under NIP-78 though.
I don't know. I am quite concerned my 'normal user' friends would leak my realname eventually.