It's also why I think crypto is suffering a bit of the Dunning-Kruger syndrome. We've had well over 2000 years of banking and it's always the case that protecting your money then becomes a legit business-case. The business plan is ages-old and always the same: take the money under protection, ensure a certain percentage in reserve, and profit off the venture by using a percentage of funds for investment and speculation. Just, not so much that you can't pay people back.
The latter point is a stickler, so get regulation in there and ensure anyone doing banking is protected up to a certain sum. Any money beyond that... you put all your eggs in one basket, sorry. Other people need to be made whole, too.
Use the same regulation so that banks that embezzle protected customer funds can be prosecuted, too. This equally applies to insurance, credit cards, loans, and other industries that make money out of offering money.
You can't stop a run on the bank if everyone loses confidence at the same time, as we saw in 2008 (Northern Rock in the UK) or in 1929 (Wall Street). But as you say... that's when bigger shit is going on.
But now... to me crypto feels like a group of upstarts thinking they can reinvent millennia of economics and come up with something better. All I've seen so far is a skeuomorphism to a scarce resource, essentially treating silicon as if it were gold.
It's making a handful of people filthy rich, people who would have been well-off in the first place, but it's not changing the world for the better. It's siphoning another resource for a wealthy elite.