Banks and Crypto

Everyone keeps wondering how banks will go bankrupt if they do not adopt the crypto movement. Of course this is partly true, banks and financial institutions are only waiting on specific government regulation on how they will manage those assets.

What has been yet to be seen is the capability of banks to adopt a crypto movement. What are they up to? Custodial wallets? Loans with the same interest rates as fiat?

If a financial institution is smart enough they will look for the way to connect worldwide with other institutions that are willing to adopt the movement.

Most banks already count with digital wallets, why not adopt them to hold their choice of cryptos and work as an exchange as well? Both assets will be in the same bank, so the possibility of converting crypto into cash and cash into crypto should be immediate.

But that's not all, they could create centralized liquidity pools for low interest loans. They avoid the risk by making the user deposit the crypto into a pool for a specific period, allowing others to obtain immediate loans through this service. This will also provide banks with 24 hour services and access to customers. But, how far in are they into preparing their institutions for this movement? Are they already developing and creating trials? Or are they just waiting for a government answer? They do have to understand that their competition is not another bank, but a developer with a dream and a desire to generate a site that could provide most if not all of a bank's service via a decentralize website.