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Jake Archibald, a "developer advocate" for Chrome at Google, has blogged about how the "Canary" version of Chrome is now hiding parts of the URL in order to make phishing attacks more obvious to the user. Canary is an experimental version, used to test new features like this. The feature may or may not make it into release versions of Chrome.Google Chrome Experiment To Hide URLs [zdnet.com]
Opera has done that for a while. You had to click in the URL box to see the full URL. I admit I'm not a fan either. I don't mind as long as advanced users can turn it off.