A personal upload space for thousands of Members isn't going to happen, both for reasons of Server space and Bandwidth it would take.
At the moment I don't see a problem with using someone's own personal web space and / or photobucket to post pictures once in awhile.
I feel I should mention that some concern should be shown to the physical size and file size of these pictures. Having to scroll or wait forever for a page to load can really annoy or turn other members off. People with big monitors and lightening fast connections may not realize it, but many don't have those luxuries.
