Fave episode in a while.
Sasuke's smile really didn't give me the impression that Karin is alive, or that he even cares.
I know against bee, we saw him flashback to the team 7 picture, and we saw a glimmer of care for his "team" Taka... but a lot has happened since then... If he really did kill her, then what's to say he wouldn't do the same to Sakura? Or anyone else for that matter?
I doubt Danzo was able to seal either of them with the jutsu, but at least he sealed the eye, and any remnants of his body secrets. I'm sure, in the wrong hands, having cells from the first or any other weird secrets wouldn't be too good.