So stablecoins are here to stay and USDC adoption will be all over the world.
So are banks!
No cryptocurrency has the power in real world to close down the banking industry. Banking is so deeply rooted in our society, that it will take centuries to come out of the banking mindset.
Cryptocurrency adoption doesn't mean that people will have to go away from the banking system. Both can co-exist and that's fine! In the world of 7 billion people, multiple currency streams can co-exist peacefully.
You have made some fair statement between the banking sector and the crypto economy however, the banking sector has not come to terms with the cryptocurreny developments over the years. In fact, it has been like a war by the banking sector.
Honestly, there are fear of bitcoin dominance, the growing awareness, adoptions, demands for bitcoin has increased its potentials, and it likely to spread further in near future which may dwindle the uses of the fiats overtimes in my opinion.