ACE is always a worse and an uglier thing to display when a system encounters unknown characters. The same goes for everything else. That is not the ugliness I was refering to. I am not sure that we will find that Holy Grail anytime soon. True, but we have to start somewhere.
Every journey begins with a single step.
But this is all beside the point. It's very important to be realistic about what can be acheived. Sure, but it is hardly a reason or excuse for this WG to suggest a bad solution. And I fail to see what it has to do with displaying domains as ACE when the application encounters unknown characters.