maybe more precisely is to protect people in that country. The government banned crypto because the market and use of crypto is very free. cannot be monitored, there is no control from the government. so that it's easy in fraud, crime and crime. a threat to the bank, I think it doesn't really matter, because the bank has also started moving on the blockchain. the use of crypto currencies is unlimited. while countries have limits and rules. this is the reason being a country bans crypto
to protect ? no i dont think so . i feel that they have other agenda on why they ban crypto but they are only using the word protect to avoid getting bashed . it will still be useless even though banks move on blockchain or crypto but as soon as declare a nationwide ban on that country , you cant still be able to transact on those banks . you and those banks that keeps on operating for cryptos will only be pusnished if ever you got caught by the police and guards that are assigned to detect crypto activities .
I don't think that banks and crypto would be agreeing with each other, but it still depends to some countries. My bank recognized Bitcoin and that's it. I can deposit Bitcoin to my bank account through 3rd party app.
If there's a case that my country will ban Bitcoin then I'll surely need a reputated person to make a personal transaction.