Everything you say is true. There is a tradeoff between security and speed. Decentralized is not as fast as centralized. Therefore, we need to take a hard look where the capability to handle large number of transactions is going to come from.

As for the power times for redemption, there are a couple factors I would like to point out. To start, SP and SBD have the requirements, STEEM held in the account as that is liquid and transferable in the moment. And SBD is only a 3 day wait if you want to cash it out...we have the ability to transfer it to another which means purchases can be made. Finally, there are a host of transactions people make which they know about more than 3 days in advance. My electric, internet, insurance, rent, phone, and other bills are known. I also have an idea of how much I am going to spend a week on lunches, gas, and other expenses.

While STEEM isnt the total solution, there is no reason why I cant foresee people having some STEEM in a wallet on a phone for "walking around money" while having other steem set aside for bills (if it evolved into true money that is).