We're not human if we don't have free will. Without it, there is no such thing as love, kindness, forgiveness, or even happiness. Everything is regulated. "I love you" means nothing because you were made to say it, made to feel it. "I forgive you" isn't real. Another force made you say it.

In addition, there isn't science, or even reason. If we can't honestly consider options, weigh data, pursue various explanations, test hypotheses, and and debate conclusions.

Secondly, it's not free will your decision is restricted to only half of the options. "You are totally free, but you have to choose something good." Then you're not totally free. It's just a deceptive game.

So, no, we weren't set up for failure. Having the capacity to choose it necessary to humanity. Knowing that, God explicitly told of the danger (this tree), warned of the consequences (it will cause a separation between God and people, and therefore death over life), and made it possible for them to choose well and wisely (you can eat from every other tree, including the tree of life). This is no set up for failure, but a strategy for success.

Why did God give man the capacity to choose to go against him, and then punish him for making that choice?

To me, that feels like a set up for failure. :/

Maybe I am looking at it wrong?