“the political consequences of clearinghouses and persistence of self-custody at scale will be paramount to a permissionless financial system native to bitcoin. the ability to practically operate while maintaining bitcoin self-custody is the primary distinction between a bitcoin standard system and a gold standard system. gold wasn’t an effective means of payment and thus custodial service, and notes became a necessity, paving the way for fractional reserve banking, and, eventually, the political capture of reserves and their ultimate removal. bitcoin is different. as more tools emerge for individuals to operate in a self-custodial manner, it will be practical for individuals to conduct economic activity without entrusting their bitcoin to custodial providers. it seems likely that this property, unique to bitcoin, is what will ultimately prevent a central bank- and fiat-like system from emerging.”

(https://www.axiombtc.capital/banks)