This makes absolutely no sense. Why would banks give up their gold to buy Bitcoin or cryptocurrencies? They could simply buy cryptocurrencies with their cash without compromising their gold...
I remember a senator had an idea for the United States to sell part of its gold reserves to buy Bitcoin, but the proposal was rejected. I don't think banks or governments would give up their precious gold for cryptocurrencies. If they were to buy Bitcoin, it would make more sense for them to give up their inflated fiat currency, not their precious gold.
You can proclaim that it makes no sense to sell gold and buy bitcoin, yet both will happen. You likely do not understand bitcoin if you are thinking that gold is as valuable as bitcoin in terms of its various monetary properties. Does it need to be repeated? Scarcity, verifiability, transportability, divisibility, ability to privately hold without as many costs and other monetary properties.
Banks, financial institutions, other institutions, governments and individuals will buy bitcoin and they will sell gold. It is already happening and will continue to happen, and sure it might not happen exactly in the order that you might expect and the action of buying bitcoin and/or selling gold is not always going to be clear, including the existence of paper gold/bitcoin and the existence of actual gold/bitcoin might sometimes cause confusion between the actual product and the various kinds of derivatives (and whether the derivatives are backed up).
First, I would like to thank you for this detailed explanation and comprehensive comparison between gold and Bitcoin. I also share your vision for the future of Bitcoin, which is better than gold in this digital age we live in, for the reasons you mentioned, such as Scarcity, verifiability, transportability, divisibility andability to privately hold without high costsetc...
However, most governments don't realize this at the moment, and I don't expect any of them to be inspired to see the future and prefer Bitcoin to gold. Many of them are not convinced about Bitcoin yet, but I expect that to change in the near future..
On the other hand, if you have cash and gold in your reserve, which one would you choose to buy Bitcoin with? For me, I would choose cash because it has no real value, while gold retains its value over time. This is what I meant in my previous post.