It is not just the fear caused by lack of understanding.
I'd rather say - by the overwhelming financial amount Bitcoin has generated. No folks in power like to be overtaken. Strange things might happen when they realize they are not the top dogs anymore.
If you’re talking about the 1% they aren’t worried. The banks may have regulations, but most banks are owned by the Rothschild family. They can invest however they want since they are individuals.
No.1. bank on highest market caps list is JP Megan Chase with $311bn. Which is being overtaken by total Bitcoin capitalisation right now. I'm pretty sure members of the Rothschild family don't sleep well these days.
It’s common knowledge people fear what they don’t know.