So is any one working on how to give us this much missed feature that was taken out of the game for no good reason? Is it even possible to do?
Some ideas:
Item material should play a key feature in how long it takes to degrade. Iron should degrade much more rapidly than Daedric, while Glass should degrade much more rapidly than Dwarven. Or at least something along those lines. I'm not very keen on the CK but i see that in smithing items are found under there appropriate quality (even mod added items), would it be possible to have these items degrade based on that quality? Over time of usage they either deal less damage or offer less protection.
It would be a very simple system but it would be a start, unless some one is working on something more complex.