The positive is that it opens up a whole lot of money that hasn't been able or willing to deal with storage and keys. The negative is, as you say, paper bitcoin. The problem is there is already a ton of paper bitcoin out there. Will this grow it exponentially? No clue. That's the danger I guess.
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It’s a whole lot of money that isn’t going to actually grow or build the true ecosystem that crypto was supposed to be building in the first place. We have lost that true money of the people narrative with Bitcoin.