This completely talks past what the person you're replying to is saying: it doesn't matter if "hardware based security is [...] the only way," because its conspicuous absence indicates that even the experts fail to meet the onerous requirements placed on them by cryptocurrency.
Yeah, this only highlights how ridiculous the requirements are.
The system needs to be tolerant of failures and faults of multiple natures. And cryptocurrency is very intolerant or many types of failures and faults.
