Here's where it ended up...
One critical element is the carriers (more often than not) demand your originating email address is on their domain - I guess that locks in service customers that don't ino enough to work around this stupidity.
The original intent was to implement SSL sessions to minimise spam and other eMail nasties, but they turned it into a commercial lock...
...
Cool, I am glad you have managed to make it work.
The originating e-mail address issue is a trivial prevention of various viruses and malware sending spam, which have pretty much always forged envelope MAIL FROM address. For normal user that shouldn't matter - the envelope address is set to the ISP provided address and any decent e-mail client permits to configure the identity so that a custom From: header appears in the mail for the recipient.
Or you mean that the mail service checks the From: headers inside the body of the mail? That would be really strange.
The SSL has little to do with spam prevention, actually. The original original idea was to provide a secure encrypted channel for transferring mail (normal SMTP is plaintext, your mail is free for the taking for anyone who happens to have access to the network used to transport it). Just ask Google why they were so pissed and started to convert everything to SSL/TLS when it was revealed that NSA has been sniffing their networks.
The anti-spam role mainly came into existence after the proliferation of various viruses and worms spreading by e-mail. The ISPs had to lock their networks down thanks to clueless users, because all it takes is one spammer to get your network blacklisted and suddenly none of your customers can send mail - it will get rejected. Not fun and takes ages to clean up all the while you have irate clients screaming at you. If you ever had to deal with one of the spam blacklists then you will understand.
So the ISPs started to block outgoing port 25 (SMTP traffic) from their clients except for their own servers and require authentication before sending (SSL/TLS or POP-before-SMTP). Also many mail servers will refuse mail from servers that are not designated as authorized senders for the given network/domain. Most "mere mortals" don't need to connect anywhere else than to their ISP's e-mail server, so this doesn't limit 99% of the people and cuts down on problems significantly.
However, most ISPs will let you send mail (unblock outgoing SMTP traffic) and even run your own mail server if you ask them. They just don't do it by default (way too many clueless users ...). However, do expect having to sign some paperwork about taking responsibility for any spam or other issues in that case. Some will also require you to upgrade to a "business" type of connection.
Considering that most people don't even use classic e-mail and e-mail clients today, using SMTP services as a form of ISP lock-in would be completely silly.