I think the government feels threatened because this bitcoin has blockchain technology that can see all existing transactions and no longer need to use a bank so I am sure the bank is also threatened so that banks threaten the government and government feel threatened from banks and bitcoin I am sure of that.
So you are saying that the function of banks is just to see the existing transactions that is being made in the country? No, that is not true. Banks has a lot of functions in a country and it is important.
Banks are not threatened by cryptocurrencies, Why? Yes, Bitcoin and other cryptocurrencies are decentralized, it is anonymous but in terms of transactions, payment method using banks are still great. Cryptos still has tranasaction fees though most of the banks don't have, it is widely accepted while cryptos are not and it is more quicker or faster than cryptos.
What you have stated is the actual truth and one of the reasons why banks will always be functional in the long run, while finding a way to integrate the blockchain technology into their system. Banks know that blockchain is the future and they are ready to study and adopt it in the long run.
Sure, decentralization may be one thing they feel could be a problem, but in essence the use of bitcoin would just be another form of making payments, which would only be applicable to those who are adopters of it, since not everyone will anyway be accessible to it, but in the long run, banks will always still stay relevant, and I do not think at this stage, the government will feel threatened with cryptocurrency.