Every address, not every 'wallet' - it's a big difference

That's not how Bitcoin works. You're conflating receiving addresses with wallets.

And in the PayPal use case, you wouldn't even see a single receiving address, as it's entirely opaque to that and it'd all be handled in some internal PayPal ledger. The receiver of the payment would only see a transfer to them denominated in local fiat currency. They might not even know the source of the funds was crypto at all.

> Bitcoin doesn't need merchant protection, because transactions are irreversible.

They first have to get confirmed and that can take a long time on BTC. Replace By Fee offers another attack vector on transaction finality.

Other than those two very important points, I completely agree with you.

This is true. There really isn't a built-in way to do chargebacks and in practice this can suck if you live somewhere where that is your only recourse if you get scammed.