I was agreeing with you. I was citing an example of a financial institution providing that particular utility, to support the idea you presented, that it's plausible that one day financial institutions could be relegated to only providing that utility.

Your point was well supported, so I don't see the reason why it got downvoted.

>>which requires that the asset classes be kept distinct

Yes it's not exactly what you described, but functionally speaking, it is quite similar as it enables on-chain and off-chain fiat to be converted one for one.