FIDO U2F is just enterprise stuff. My mom will never own one to log in to Facebook. So the market is very difficult for newcomers. That's why we see lots of low quality products which come and go.
I mean, comparing U2F keys with the alternative 2FA methods (like SMS and Google Authenticator), it sure seems simpler to just tap the USB key instead of taking out your phone, unlocking it, seeing the message, and writing the code from the message.
They're convenient as hell.
And that's why we have Yubikey Nano versions. And as for them being fragile, I really don't experience that. Mine one has been sitting on my keychain for about a year and a half and it seems rock-solid. Even though it has been through rains and thrown around countless times, it still works like it did on the day one. Even though it's plastic, it is pretty durable from my perspective.
BankID isn't operated by the government but rather by the system critical banks however it's really ubiquitous today and supported by most government sites, banks and other high security web systems.
BankID comes both as hardware keys with smartcards or as a mobile application where you use a local key to sign a request.