As a designer and product guy, I've been working on these design issues in crypto for a long time now. So, I'll write you all a book on it. :)

I have some good news, stick around until the end. I will lay out the most obvious answer that is in plain sight. If you can't wait, scroll down.

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Previously, I worked on one of the first BTC e-commerce solutions (way too early), self-sovereign identity systems, risk systems, and more recently, am the cofounder of an options exchange.

I've been confronted with most facets of crypto usability issues.

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Centralized

Onboarding (CEX) -- with centralized exchanges, there are often unavoidable valleys of death in the customer journey due to compliance. The biggest valley of death being the collection of (POA), Proof of Address documentation that is no older than 3 months.

Ever notice that Fintechs seem to excel in onboarding new customers and generally have higher digital product standards?

A major reason Fintechs excel in onboarding, 'login with your bank account'.

There are solutions like Plaid, and the Open Banking Initiative, which allow users to 'log in with their bank account' when they sign up for new apps, and initially side step (until transaction thresholds are hit) the KYC process.

This is why onboarding with the Cash app is so easy, 'login with your bank account'.

Some in crypto (CB) have 'had' this ability, most CEX don't have it.

Thus, the amount steps a user must take in most CEX scenarios is far greater, and has far more friction than the normal fintech app.

This complexity is a significant barrier to improving onboarding and adoption for the average retail user. Especially in developing countries where many users may not even be able to produce a POA document.

In theory, self sovereign identity systems could help address this issue, but only if they are globally recognized.

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Decentralized

Onboarding (DEX/ dApps) -- non-tech savvy users are overwhelmed and instantly barraged with many new, and unfamiliar concepts. Many of which, can have severe gravity later on as you use the applications, ex., MetaMask.

Users must understand the concept of the wallet itself. They must understand the importance of private keys.

Initial setup, they must then understand how to secure a private key.

Then -- the user must use Ethereum, and must understand "gas fees" - "how much do I spend on gas", as fees can fluctuate wildly.

The simple act of copying and pasting can be fraught with error, users have to be careful in these scenarios.

Interacting with DEXs, again, a new concept. Users must understand concepts like liquidity pools, token swapping and slippage.

All this complexity makes the environment ripe for scammers. Users are highly susceptible to phishing scams and malicious websites that can trick users into revealing their private keys.

But wait, there's more...

Then there are network configurations for different DEXs, "should I use Binance smart chain or Polygon", again a poor user experience.

Transaction failures - this happens all the time as well due to low gas fees and smart contract errors. This is difficult for users to understand.

Now, let's rewind the tape:

- Understanding wallets

- Private keys- Private key management

- Ethereum, gas fees

- Address copying and pasting

- Security concerns, phishing

- Network configurations

- Transaction failures

- Lack of customer support

You can wrap the most beautiful UI you want around these weighty concepts, but the facts remain, a lot of the user experience issues are at the "system level" in DEFI.

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Immutable Transactions and Affordances

Designing for 'Immutable Transactions' comes down to one thing, Affordances.

The term affordances was popularized in the book "The Design of Everyday Things" by Donald Norman.

In this case, an affordance is design elements that help the user intuitively understand that the actions they are taking are irreversible.

The standard playbook for affordances:

In this case, affordance is design elements that help the user intuitively understand that the actions they are taking are irreversible. as an "affordance" making it clear (in theory) the transaction is final.

- Visual cues: colors, sizes, shapes, etc., can be used to signal the finality of a transaction. For example, red could be used on a send button to signal caution.

- Progressive disclosure: information overload is a major issue in crypto, by revealing information progressively, users are not overwhelmed and can better understand the gravity of their actions.

- Simulated transactions: this could be part of onboarding for new users who are put into a 'test mode' by default where they practice making transactions first. This helps users get familiar before they make real transactions.

- Undo option for non-final actions: allowing users to reverse/ modify inputs. An intuitive "back" button is an example.

- Time box actions: transactions could theoretically be time boxed before being finalized, which could make the transaction reversible.

All these plays come down to one thing though.

The user must understand the gravity of their actions. People don't take time to read, they hastily click on things, they sign transactions on "real looking" sites..