I'm also ok with people doing whatever they want, it's just disappointing to see all the WoS worshiping with zappening events, etc.

Do you think most on-boarded users are aware that the wallet is custodial and of the tradeoffs? Or do you think they just think it's still bitcoin just with a lot of ⚡⚡⚡?

Something that is "just temporary/for small amounts" just for convenience's sake, eventually turns into The Standard one it hits a critical mass. It happened before with email and with the web.