Can the banks challenge the policies from the government? Are the banks working for the people or the government? is there any possibility that banks can operate freely entirely from government policies?
I think that paradoxically, banks work for the government, not for the people. The government want to control people, especially their finances and they exercise it through banks. If banks operate freely entirely from government policies, they are closed. The authorities don't approve of crypto as it is uncontrolled, but they don't want to lose control over money.