Yes waters a very good solvent, but universal? If it were universal, what would you use for a container? Also water can't solubilize lipids or other nonpolar molecules.

yes, universal all the way. the key word here is "time", which if givin, water will break most things to it's purest state, breaking down molecular bonds, not the molecule it'self. a lipid is in it's purest state. as far as containment, im sure the egg heads at the campus would have a field day with this, but this isnt something i made up. dont underestimate the power of water.