They ARE fine for small amounts! I still haven't seen any of you explain why they aren't.
"how do you think people are going to actually even learn about the self-sovereign path?"
We teach them! I've transitioned people from custodial to non custodial Bitcoin. Happens all the time. People need time to learn. And the tools need to actually be there for the use cases, which they are not yet for nostr. When bolt 12 comes along we'll tell everyone what's up.