That's exactly how I feel. My LJ's part personal and part fandom (I have RL friends on here too, but they pretty much know how fandom works, and I trust them implicitly, so) so I'm already in a slightly uncomfortable position.
The news post that announced this new feature is currently 'down for maintenance' whatever that means, but almost 9000 comments expressed pretty much those exact same concerns. The vast majority of the comments were of the DNW opinion.
One of the things I like about LJ is that you're as anonymous as you want to be. This new feature does nothing to help you stay that way, to say the least.

BTW, I'm really sorry I haven't answered your email yet, I've been a bit snowed under. I shall do over the weekend though :)