Registration via app - Which direction?

[jokerfool]

I have an application which is freely distributed on the internet and the downloads are through the roof, yet with the registration I think people are hesitant when it comes to privacy.

Currently the software displays the hardware fingerprint of the computer and along with the fingerprint, you can register and receive your serial number as well as a license key which is encrypted.

Is there some other method I can use for registration that people are more willing to accept or are people just plain self conscious about privacy and wont register.

So far since releasing the registration option i've only had about 700 people register, compared to the downloads I figured my approach maybe should be different.

Thoughts please.

Thank you.

jf3000