One small problem. If Google continues as it stands right now, the lack of fees will make it a much more desired engine for people to transfer money back and forth without having to incur fees as you currently do with Paypal.
So light years ahead or not, Wallet is proving it can be a very powerful tool and from my personal experience, it's hands down a nicer tool with more ease of use security features that blow Paypal out of the water.
The integration with my phone for Google Wallet and the "Tap and Pay" feature through the phone as well make it awesome. I don't have to fuss with a card at all and it's secured through three layers of security on my phone just to get into Wallet. A far cry more secure than a card and easier to use than Paypal at the card machine.
So I am happy for your enthusiasm but don't laugh it off just yet. They've done a pretty solid job putting it together and with the integration between phone and banking services plus the lack of fees that you have to deal with make it a lot better option for someone such as myself.
As a matter of fact, I can't even find a reason to keep my paypal account at this point. Everything I need to do I can do with Wallet and the Wallet Mastercard I already have. :)