I think one of the biggest challenge with Bitcoin is that there is no standard process to recover a private key. When you lose it, it's gone. You are fully responsible for keeping it secure, but also to keep it safe. This gets a lot of people out of Bitcoin, because all of sudden, they become fully responsible for their own money. It's like you have a lot of cash, and now only you need to make sure that you (A) you hide it to prevent it from being stolen (B) you never forget where you have hidden all your money.
That's the whole point of Bitcoin I suppose? Traditional banks can lock you out of your accounts or freeze and block your accounts without your permission. When you're in control of your accounts, you should be responsible to secure it accordingly.So, if would have a physical key to my secure deposit, i would hand over a copy to the most trustful person in my life (which is usually a partner or someone within your family). But you can also slice the key into smaller chunks, and give it to some of your friends, where you know only them together can open it up. And if one friend disappears, the others can still open it. As far as I understood, this is multi-sig, which already exists for Bitcoin.
Now, the crucial question: Could the name (or let's say some identifier) of my friends somwhere be stored secure, in an encrypted way? The "name" of my friends would usually something like a SIM or MAC address; in TCP/IP stack at network layer (or physical link in OSI model). Because this is where we all get connected, either with a modem at home (for fix line access), or with a SIM card for mobile networks. And I would argue that most of people using Bitcoin have either one of those two access (unless you are constlantly using public WiFi / enterprise WiFi).
their money, which is, of course a good thing
This is unnecessarily complicated. If you're someone who can't store a key of strings securely with the help of additional hardware wallets or offline storage systems only exclusive to you, you shouldn't be using Bitcoins I guess. Adding multiple layers of encryption will make it difficult to access your funds. Now, the crucial question: Could the name (or let's say some identifier) of my friends somwhere be stored secure, in an encrypted way? The "name" of my friends would usually something like a SIM or MAC address; in TCP/IP stack at network layer (or physical link in OSI model). Because this is where we all get connected, either with a modem at home (for fix line access), or with a SIM card for mobile networks. And I would argue that most of people using Bitcoin have either one of those two access (unless you are constlantly using public WiFi / enterprise WiFi).
their money, which is, of course a good thing