Wrong.

Goverments are known to confiscate money if you don't pay your taxes

Then why don't pay taxes?? If you have business it's really a must to pay taxes and that is common in every country.

banks are also known for bankruptcy in which case you say bye bye to your money

You think it can be applied as a whole? There are laws associated in every bank so even they experienced bankruptcy you have a good fight and not just a bye bye one unlike when you loss your bitcoin.

On the other hand you can have a hardware wallet and keep your coins in the safest place

There is no safe place. (Don't react if you don't get this)