Twitter OAuth definitely needs to be renamed Twitter Connect. If you don't have a Tipjoy account, check out how easy the signup is by going to http://tipjoy.com/ and clicking the Twitter banner.
That's just so ridiculously easy, it should be highlighted by twitter. They're a bit distracted I guess with their meteoric growth to market this properly.
I think the problem is that OAuth isn't usually touted as a sign-on standard, only an "access API info" standard. With a couple tiny tweaks OAuth could be a standard that allows for this kind of "Connect" protocol for any web application.
Specifically, all that would need to happen to make this perfect is for OAuth requests for a user that already have an access token automatically push through to the callback phase instead of requiring a "re-allow" of the client's services. This wouldn't conflict with the OAuth spec in any way that I'm aware of.
Looks great! One suggestion though: it'd be nicer if the plugin used module mixins rather than class inheritance to decorate the User model with your TwitterAuth functionality.
That's just so ridiculously easy, it should be highlighted by twitter. They're a bit distracted I guess with their meteoric growth to market this properly.