What can of worms could the judiciary open up? State and local governments have had a free hand to ban at will. Can you outline a Second Amendment ruling that would negatively affect the RKBA at the state or local level?
Not yet. However, if you reject the "militas" argument and focus on the individual right, as the DC Circuit did here, then incorporation becomes a much more like possibility.
And before any anti-gunners freak out, even if the SCOTUS does eventually hold it applies to the states, it's not going to treat it like the 1A. In other words, plenty of regs will be allowed, just not bans or regs that are the functional equivalent of bans.
You could end up with something like a Kelo decision for guns. No, it doesn't affect state laws. But it sure as hell influences them.
It effectively gives a federal green light to state and local abuses, depending on how narrowly the U.S. Supreme Court defines a right. States may still protect property rights. Yes. Nothing has changed there. BUT, they now know what the can get away with and you see them trying.
Incorporate the second amendment then have the U.S. Supreme Court say it doesn't protect concealed carry. Or semi-automatic handguns. Then watch the Brady Bunch go into high gear at the state and local level.
I'm not well versed on the subject enough to speculate. but even gun rights organization have been reluctant to toss this thing into the realm of the federal judiciary. remember, these are the guys who affirmed McCain/Feingold, who overturned the takings clause in the 5th amendment with the Kelo decision.
Texas doesn't want NY's guy laws, and they shouldn't. But NY doesn't necessarily want Texas' gun laws either. there is a balance to be struck here.
BTW, I agree with you that a pro-incorporation ruling would be desirable given the current state of things (even taking into account the risk).