Oh, dear Lord. It's comments like this that make people skeptical about Bitcoin in the first place, because it demonstrates that BTC supporters don't understand what the economy, or even money, is.

Ok, when I studied history many years ago, I took a class in early modern Europe (think 15-16th centuries). That was when modern capitalism first gradually appeared. The most important thing to understand about the origins of modern capitalism is the change in society it required. That change was the transition from a face-to-face society (where you personally knew all the people you transacted with) to a society of strangers, where you had to put faith not only in complete strangers, but in people whom you'd never met and never would meet. Most importantly, you had to put faith in institutions. That was when the first institutions started, modeled after the oldest institution of all, the Roman Catholic Church. There was a time when there were no institutions (well, other than the church). People couldn't even understand the concept of an institution: they knew there was a guy named John and a guy named Paul, but what the hell is a group of people that has an identity of its own, and lasts more than its members?

Anyway, modern capitalism required institutions, most important among which were banks and insurers. Insurers reduced risks and encouraged investment while bankers lent money to support such investments. Now, when you put your money in the bank, it has to be loaned to others, otherwise the economy will come to a standstill. You have to put faith in the bank to get the money back to you. Same with insurance. You have to have faith in the insurer to pay your claim, or, at the very least, faith in the court to compel the insurer to pay up.

The way you look at BTC, disconnects money, a central instrument in the economy, from the economy at large. That doesn't make sense, and even if no one ever steals your money, your money won't "work", because there will be no economy to use it in. A modern economy is built on trust. Trust that in the long run, most people will be honest because that's what's best for them, and they know it. If we don't have trust in institutions, there will be no economy to speak of, or, rather, there will be a very primitive one (only, this time, with computers). In that case, I suggest you take good care of your machine, because in your utopia there will be no new models coming out. Sheesh, how some people, in time of crisis, cling to their laptops and algorithms.