Would this make banks responsible for uncontrollable losses? This will be great for adoption and hints at a future where banks essentially regulate smooth digital transactions and keep them secure.
Of course they will be responsible if they chooses to offer this kind of service to crypto enthusiast. But the question is, do we really need them to handle our private key? Everyone is here because "we're our own banks" so I don't think this is a viable options for us.
Banks are only interested in Blockchain Technology, maybe this is just their way to look good and doesn't sound like anti-crypto. But this is useless in my opinion. And I don't think that this kind of move will be great specially for mass adoption.