Yes, but Stack Overflow's signup screen takes more thinking than most sites (by virtue of being different, not to mention its complexity). Amazon's signup is far simpler and it does not seem to be terribly insecure.
If they had an MX record, this would be really interesting to see. I'm sure I've seen plenty of signup forms with placeholder text such as: user@example.com
I think you've just got too many "okay next" steps. Also, is account activation really necessary? Couldn't I just start using the app immediately and activate within X days?
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