Bitcoin adoption was never going to all happen on chain that's a dream, even with the protocols we have and possible future ones it's just never going to scale. Each option has a trade-off, individuals who value what self custody bring will use this method, while those that just value the price appreciation in fiat would be interested in an ETF

The ETF caters to a certain market, people who are already wealthy, they just want some allocation to it, they've already got other assets to bring them wealth, and they've got enough wealth, to think they will be protected

While I am not a fan of the ETF and wouldn't use it because I am not the intended market we have to accept people are going to trade IOUs thats the norm. As this gets bigger businesses are going to want Bitcoin, countries are going to want Bitcoin and these people are focused on other things and will happily outsource self custody

If they get rekt for their decision, thats on them