- Likelihood of your house being burgled
I think you misunderstood it a little bit. If my house gets robbed (which is likely since it happened before) the hacker would "only" have my mnemonic seed but not my additional passphrase added to my mnemonic seed.
So the robber would only get pennies which are stories in my main wallet, but not my actual savings which is behind the added passphrase.
- People know I own Bitcoin and that I am a big believer.
- I store the mnemonic seed in different locations, so in the case of a flood I should be fine. Unless my whole city gets under water, then I would be screwed.
So basically combination of obfuscation and decoy strategy.
It's good choice, but since people know you're big believer of Bitcoin, then they might conclude that you store your Bitcoin on multiple wallet/location and attempt to rob your house again.
And regarding "password protected USB sticks", you need to know that flash memory have
limited lifespan and it heavily depends on write/read activity, storing condition (humidity, temperature, etc.) and quality of the flash memory itself.