Financial institutions are not going to disappear, crypto or not. The are an essential, integral part of the current economic system. Retail banking is just a small part of it, financial institutions providing capitals for corporations are much more important, and crypto is of no danger for them.
I agree with this statement. Banks are financial institution that has been an integral part of our developing economy. They will not disappear instantly because it will still be a part of the digital era. Cryptos may create their own Crypto Banks and I believe it will be a good competition because they will offer the best services and options for its Clients.