Good analysis, with points I hadn't thought of.

https://www.zherbert.com/bitkey/

The direction doesn't seem very nostr:npub1sg6plzptd64u62a878hep2kev88swjh3tw00gjsfl8f237lmu63q0uf63m?

What happens when Block gets hacked and all their users KYC, IPs, AND complete on-chain history gets leaked? Subpoenad?

When users with compromised phones blindsign an evil TX, will you repay them, or...?

I get the tradeoffs you’re trying to make, but it seems to be setting people up for trouble? Surely a better UX gently introducing them to address validation etc is better? If not, isn’t this closer to the legacy system than Bitcoin’s ethos?