I hadn't considered that point in this context before.
Naturally I had noted that kids are not impressed by participation trophies, claims that "everyone won" a competition, or similar drivel. (Of course a small patch, ribbon, or other token given to participants is quite acceptable, just not the pretension of everyone being a winner.) They quite rightly find such things delusional if not insulting. But you make a good point, that if they DO accept claims of childhood innocence at face value and are wise enough to see clearly that they do not measure up to it, then they may conclude that they are far worse than they actually are. This seems a great shame, as children with that degree of self-awareness are likely to have a great deal more potential than those who would uncritically accept such claims.
That said, while recognition of failing to meet such an impossible standard could well cause a great deal of damage, it's worth remembering that we are ALL broken people. It's just that some are cracked and crumbling while others are smashed into a thousand pieces.
It's all about balance, but that at least is something you are already well aware of. ;-)