Banks are private companies in a very competitive area. This means they need profits, great profits, no matter where from.

Crypto / DeFi is where the money goes around very fast, the fees are still big after quite a good number of years of existence. And we are still early. Companies are just touching it. Financial instruments are just being built. If the banks manage to avoid scams and hacks, they can earn big.

If they don't, the bolder competitors who will make more money... will just buy the banks that have remained "small".


So I think that he's correct, just "extinction" in this case doesn't mean bankruptcy, instead it means being "eaten" by the "bigger fish".