[wraptile]

How do you think bank accounts get hacked? It's much easier to yank a password/credit card number people use daily.

The benefit of private key is you only need to use it once. Then store it away in a safe or _bank_.

More UX will develop over time as adoption grows. We already have hardware wallets that even babies could use.

Finally you somehow imply that FIAT theft doesn't happen. Even in recent modern history people have lost all their savings in a snap be it their house burning down, colleague stealing everything or even your bank going under.

[KingOfCoders]

"More UX will develop over time as adoption grows. We already have hardware wallets that even babies could use."

The difference is this: If people have a hardware wallet they use digitally they think it's like a bank account on their phone. They do not realize that with that wallet if the wallet is gone so is the money. Wheras if the phone is gone, nothing happens to their money.

[reedjosh]

Have a wallet and a seed phrase for said wallet in a safety deposit box or even two. Boom, all set.

[andyana]

You mean a safety deposit box at a bank? At a bank most Ecuadorians don't use?

[reedjosh]

In that case, bury a seed phrase somewhere like hidden treasure. The whole point is that a seed phrase is all that's needed to backup a wallet.

It's akin to hiding money in your mattress, but less bulky. You could even memorize it because seed phrases are between 12 and 24 words.

[KingOfCoders]

"It's akin to hiding money in your mattress"

So people with money in their mattress and no access to a bank should do an elaborate scheme that ends with "akin to hiding money in your mattress"?

With a treasure map and a cross where the treasure is so your children will find it in need? Then make a movie out of it and become rich?

[reedjosh]

You're sure making a big deal out of remembering a seed phrase.

The original point was

> They do not realize that with that wallet if the wallet is gone so is the money. Wheras if the phone is gone, nothing happens to their money.

Which is just false as a seed phrase is all that's needed if the hardware wallet is lost.

[bun_at_work]

> or even your bank going under.

FDIC insurance prevents your money from being lost in this case, no?

Also, it's a bit ridiculous to think that private keys won't be stolen because you can just store it away in a safe or bank or whatever. People are susceptible to all sorts of scams and this private key won't be a panacea for human stupidity or ignorance.

[hn_throwaway_99]

Basically everything in your post highlights why crypto is a horrible idea for your average person:

> How do you think bank accounts get hacked? It's much easier to yank a password/credit card number people use daily.

Exactly, and when a credit card number is stolen the consumer is almost never liable, as opposed to crypto where your life savings are gone forever.

> The benefit of private key is you only need to use it once. Then store it away in a safe or _bank_.

As another responder said, you need your private key to sign every transaction. Giving you the benefit of the doubt and assuming you're talking about wallet keywords, even then if you have an account you still need the ability to sign transactions, and according to crypto enthusiasts the no-middleman, non-reversability of crypto transactions is a feature, not a bug.

> More UX will develop over time as adoption grows. We already have hardware wallets that even babies could use.

This man used a Trezor wallet but was still tricked into entering his wallet keywords into a fake Trezor app and lost his life savings: https://www.washingtonpost.com/technology/2021/03/30/trezor-...

> Even in recent modern history people have lost all their savings in a snap be it their house burning down, colleague stealing everything or even your bank going under.

Which is exactly why everyone with a mortgage is required to have home owners insurance, and FDIC insurance exists.

The only way to introduce these kinds of benefits (e.g. to have someone adjudicate allegations of fraud; insurance; etc.) is to introduce middle men, which then defeats the entire purpose of crypto in the first place.

[UncleMeat]

You need your private key to sign transactions.

On an unrelated note, why do cryptocurrency advocates so frequently write "FIAT" in all caps? It isn't an acronym or initialism.