What are the current challenges with Bitcoin?

[keelba]

It is clear there are some challenges currently with Bitcoin. I believe that until these challenges are overcome, there can be no worldwide Bitcoin economy. However, I have absolute faith that these challenges can be overcome. However, it is not possible to solve a problem until you understand what the problem is. So what are the current challenges with Bitcoin today that people can start thinking about solutions to?

Here is a small list that I see as some of the current issues:
1) Ease of use - I don't think the average person has a good understanding of setting up and securing a wallet and, most importantly, knowing how to make sure or have faith that he will never lose his password. Perhaps biometric scanners built into our phones could help solve this. Since none of us owns Apple, Samsung, or HTC, maybe someone could build a small one that could plug into current phone interfaces.

2) Ease of acquisition of Bitcoins - There seem to be some improvements here as of late but I still think it is difficult for the average newcomer to get them safely and without having to pay huge markups.

3) Regulations - The average user does not care that company X has to spend millions on compliance. However, he would like the ability to cash out of Bitcoin at any time he needs to without being labeled a criminal.

4) Counter party risk - A face to face cash transaction enables both the buyer and seller to exchange goods or services at the same time. If something goes wrong, they can address it right there. For remote or delayed transactions, people have gotten used to relying on credit card companies to ensure that they get their money back if they do not get the goods or services promised. With Bitcoin, how do I ensure that when I transfer my money to you that you will ship the item you promised? I know escrow companies exist but there is a real trust factor here, not to mention cost.

What other challenges do you see that we might work to overcome making the road to Bitcoin that much stronger?

[PerfectAgent]

On your fourth point, I think there is escrow as part of the protocol itself, but it hasn't been used yet.