This is the defining security risk of self-custody wallets — if your Secret Recovery Phrase is lost, stolen, or destroyed, your crypto assets are permanently inaccessible with no recourse.
MetaMask users bear full personal responsibility for the security of their Secret Recovery Phrase and private keys, with no recovery mechanism available from Consensys if credentials are lost. The $100 total liability cap means users have virtually no financial recourse against Consensys even in cases involving platform errors, security failures, or service outages affecting high-value crypto holdings. You can opt out of the mandatory arbitration clause by sending written notice to Consensys within 30 days of first accepting the Terms, as specified in the dispute resolution section.