> The body of evidence to date suggests that you're much more likely to be robbed of your cryptocurrency through fraud or incompetence

Because the technology (right now? maybe we'll see cryptocurrencies built in hardware/os eventually) is for competent geeks, not that greedy people that store their bitcoins on exchange wallets (or use any central server). One has to ask oneself if the blockchain is more reliable for him, just as he does with other things like choosing doctors etc.