No way to store File objects locally If you try using Database, it will just store the string "[File Object]". At least that's what I've been told (and looks like what it will do in JSSQLTransactionCustom.cpp: http://trac.webkit.org/browser/trunk/WebCore/bindings/js/JSSQLTransactionCustom.cpp#L77 This is a blocking bug for applications like Gmail to move off gears (which they would like to do!). They need a way to store files that someone attaches to an email during offline mode, so they can upload them to the server when you come back online.
Alexey suggests that it also makes sense to be able to fetch files out of a Database as some sort of data: url. So you can store images in the Database and display them later. I think that's most easily answered by adding some sort of File::toDataURL() function (which probably should take an encoding). I'll file that as a separate bug.
This bug has clearly been overtaken by events.