Shoe laces are more functional.
For starters, shoe laces need to be tied, and they come undone. To use Velcro straps you simply have to press them firmly into place, and they take quite a lot of force to undo improperly.
The fact of the matter is the primary reason most people, by a huge margin, chose laces over Velcro is aesthetics (which Velcro sorely lacks).