Quite a few years ago, I nearly went through this on a older Lexus that I had. Once I got an estimate from the Lexus dealer for replacing the ECU and programming the keys, I got highly motivated to find the key that my wife had lost.
The official line from the Lexus/Toyota dealer is that "you have to replace the ECU".
It is my understanding that someone has come up with an "unofficial" way to erase and reflash (reprogram) the ECU. There should be at least one locksmith in your area that is capable of doing this.
Either route probably won't be cheap, but I suspect the "unofficial" method will be considerably less expensive (only ridiculous instead of the dealer's ludicrous option).
With the modern transponder keys "two is one, one is none". After my experience, I'm in panic if I have <2 "master" keys for any of our vehicles. Whether it's a hardware store "clone" of your master key, the Camry key (w/o a remote) programmed as a master, or the broken head (remote) on a keyring with a old style brass key, find a way to have a backup master key in a good safe place.