I'm working on a block controller for my layout that can monitor up to 14 blocks and keep multiple trains separated. Since it will be possible to have 2 or even 3 trains running simultaneously, currents can get pretty high. A single breaker for the loop must provide the max current for all trains.
It occurred to me that the block controller can also be a multi-channel circuit breaker. It monitors current draw in each block using current transformers. So it can trip power on a block when the current becomes excessive. And since only one train will be on each block, it can trip at a much lower current than for the whole loop.
If anyone might be interested, I could make it available to the community when development is complete.
As a side note, I followed that discussion on coupling together multiple engines. I think the problem does not apply to those of us using legacy engines under transformer control. Two coupled Trainmasters run fine together, and will pull anything.