I think by "self-aware" Steve just meant that he is aware of his fake self (ego, mind, body, ex.). He even says his true identity is that he is "aware," which I would interpret as him saying his true self is the awareness.
I agree with you that the perceived cannot be the perceiver, and anything that we are aware of is not us. We are aware of the world, our bodies, our thoughts, ex, therefore none of this is the real self. The real self cannot know itself, because the act of knowing something means that it is unreal.
Tricky stuff, but fun to talk about
Erock
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