On the first part, I don’t see it as a technical obstacle, but a financial one. I.e. hardly anyone will be able to afford a UTXO.
On custodial KYC, I see it as: the more popular a custodian grows, ...
I think that'll be the biggest selling point for KYC options. KYC products will have theft and liability insurance, while non KYC likely won't.
Cashapp will have more customer "protections", while services like Aqua will not.
That said, while we all saw what happened with the Blockstream hack, they are showing their users that they are willing to eat the costs for their mistakes.
So even though they are non KYC, they are showing the market they can make their costumers whole, like a KYC product would.
I guess that's the beauty of a free market.
Cashapp will have more customer "protections", while services like Aqua will not.
That said, while we all saw what happened with the Blockstream hack, they are showing their users that they are willing to eat the costs for their mistakes.
So even though they are non KYC, they are showing the market they can make their costumers whole, like a KYC product would.
I guess that's the beauty of a free market.
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