Personally I feel like limiting ccTLDs to only legal entities (ie natural persons or registered organizations) of that country seems perfectly natural and even desirable. It doesn't (generally) limit you from offering services in any country, but it does require you to be at least a tiny bit more honest about the origin of the service.
Now that ICANN has ruined DNS though, there's not much point. Don't need to register endlesshor.se in Sweden when you can just get http://endless.horse.
Not all sites are "services". I'm glad I could register a personal domain in one of the countries of origin of my family, even I don't personally qualify as a citizen.