Didn't realize you were on Steemit. I don't use it much and am switching to Hive after the recent contentious hard fork. Everything from here is there with the same keys/passwords.

Yes, people will use and adopt it. It's better than the bank or some other company being able to arbitrarily suspend your account or inflate your money by printing trillions more out of thin air like the Fed is doing in the USA now. And since the Indian Supreme Court threw out the ban on crypto, it will be coming fast when fiat money won't buy anything any more. And then there are all the fees collected by middlemen in the fiat system which are largely or completely eliminated by cryptocurrencies. Bitcoin, in particular, is inherently deflationary. It goes up in value over time - encouraging savings and allowing one to adopt a low time preference where future benefits can be planned and created because the value isn't evaporating out of your hands.

Central authority is based on trust (and coercion) and that trust has been massively broken. People just have to realize it when the hard consequences occur.

Most people don't like to assume more self responsibility when they can get someone else to take care of things for them - especially when they are afraid. But when the costs of doing that get too high, that changes everything.

BTW, there are things like multisig wallets which which can survive the loss of one or more keys. One key isn't the only way to do things. Done right, they actually add security, because if one key is compromised, it still doesn't grant access to the underlying assets. E.G. you might need 3 of 5 keys to grant access. (This isn't usually used for small assets because of the extra complexity, but it proves there are alternative solutions to compromised/lost keys.)