According to estimates, about 15-20% of BTC is stored in wallets that are lost.
If more tech savvy than average people have managed to lose 15-20% of BTCs in existence how do you think the average person will fair? I mean most people are dumb, I would bet the IQ of the typical crypto investor is way way higher than average, and they still ended up collectively losing 10s of billions of dollars in BTC value.
The problem I see, is that Bitcoin and decentralized systems as a whole are mistake in intolerant, and humans unfortunately make mistakes.
Imagine in the future that people will be able to buy big things like say a house with BTC and thus save some commissions. However, because of the unforgiveness of the system, if you make a mistake in the transfer you basically just lost a house. Do you really think the average person will choose to take the risk to save on commissions?
Prove me wrong and change my mind!
**If someone here manages to convince me this isn’t a problem for mass adoption I will buy some BTC again.**
Full disclosure: I mined a bit years ago.. sold it all at around 40k recently.
**Edit: got some interesting comments from some people and I am now convinced the estimated number of actually lost bitcoins I quoted is inflated. However, I haven’t encountered convincing arguments for why mistake intolerance won’t stand in the way of mass adoption. I just can’t see the average person taking these risks on a daily basis. In addition, all solutions to this problem involve centralized systems which further casts doubt on the decentralization idea. Lastly, I find it sad that the most hostile responses got the most upvotes. I am guessing people are emotional because they are scared, which is understandable as the price can still drop much lower than it is now and the last all time high was the least impressive so far (only 3.5x).**
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