Is there any bank/financial institution somewhere in the world that has embraced Bitcoin? Not that I'd deposit my money there, I'm just curious to know it.
No. I don't think there is a bank anywhere in the world that is accepting cryptocurrency directly. I once read the news saying, UAE government is planning to accept cryptocurrency in their banks but still not implemented. For now, there only new ICOs for cryptobanks that are planning to build banks for cryptocurrency.