Intuition $C^*$-identity

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Let X be a Banach algebra and $x,y\in X$ by definition then
$\Vert xy\Vert\leq\Vert x\Vert \Vert y\Vert$ and the intuition could be that it makes multiplication continuous, which is a nice property.

Is there an similar intuition behind the $C^*$-identity? I know it implies that the involution is an isometry, but if that was what was wanted it would seem more direct to just assume that.

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Adjoint is an operation which depends on the inner-product. Adjoint is not a purely algebraic concept; nor is it purely topological. Adjoint depends on the inner-product. A non-unitary change of basis for square matrices changes the adjoint, and you can work out what that looks like. You could study an operator algebra on a Hilbert space where you use an adjoint involution generated by one inner-product, and an operator norm generated by another topologically equivalent inner-product.

The $C^{\star}$ identity becomes a consistency condition between the inner-product used to generator the operator norm and the inner-product used to generate the involution.