Earlier quoted context omitted.
> If the answer is "they just don't get access anymore" or "a panel of their peers attests to them", your fantasy authentication system also needs a fantasy species of sentient beings to serve as users, because it won't work for humans. This has been my single biggest argument against blockchain/cryptocurrency stuff for years: the "lose your key, lose your wallet" thing is fundamentally incompatible with real users.…
If you accidentally burn cash you cannot recover it. The paper in your hand isn't replicated in another place. Humans have been unable to recover from mistakes since day zero
Yes obviously if your money is completely burned then it's gone, but that is generally pretty unlikely to happen. Losing your digital key is many orders of magnitude more likely to happen in my opinion. And there is - by design - absolutely no way to get it back. That makes using blockchain for anything serious completely untenable in my opinion.