We only know this because we can track it.

Would love to see how much money PayPal and stripe freeze on a yearly basis.

By the same token, exchanges will also freeze funds.

If you want to avoid that you have to follow the original Bitcoin vision where everyone had their own node, but I don't think anybody actually works like that these days, to a very small rounding error. Everything interacts with some sort of very centralized service that can screw you over.

Centralized node services cannot screw you over other than refusing to provide service. Even when using a centralized node, your wallet still manages its own keys.

Exchanges can keep your money. NFT marketplaces like Opensea can refuse to sell your stuff or refuse to give the author royalties.

Yeah, you can theoretically operate without any of that. Just pretty much nobody does.

Somehow I doubt it’s ~$20B/year, which would put it at parity with crypto losses.

One country recently seized 300B of funds of another country. Not necessarily a bad thing but still…