Trusting financial institutions is riskier since you are keeping your coins at the disposal of someone else and staking the safety of your coins to their activities and security practices. It is always better you keep your coins and keeping it in a decentralized manner helps the more, download a non-custodial wallet and use an air-gapped device as a cold storage, That way you are protecting your wallet from social engineering that is applicable to hot wallets and you securely back up your seed phrases and/or private keys offline and you're good.

Trusting a financial institution comes still with a risk of loosing your coins upon its collapse and it defeats the purpose of bitcoin which is decentralization and self custody.