Internationalized local names are IRIs where the domain part is restricted to ASCII characters while the local name can use Unicode characters.
This pattern can offer a trade-off between security and readability. On one hand, it limits ASCII characters for the domain part, which may be subject to homograph attacks.
On the other hand, the use of local names with Unicode characters improves readability.
This pattern avoids the problems associated with domain name spoofing while it offers more human-friendly resource identifiers.
While this partially solves the problem, the possibility of spoofing using visual equivalent IRIs for different purposes remains.
However, as the domain name is preserved as the authoritative source, it is much more difficult to accomplish such attacks.