[trollbridge]

We may have a philosophical disagreement since I think fintechs definitely are banks, or at least pretend to be banks. What you call a “bank” is what (for example) my credit union or my local town’s small bank calls their “banker’s bank”. They do indeed store their funds, generally speaking, at their banker’s bank; I know for a fact one of them primarily uses Chase.

Their banking software keeps reliable ledgers of balances and posts changes nightly to their banker’s bank.

They prepare for data loss with off site backups. This stuff has been done in banking since at least the 1970s.

Anything being out of balance is a major emergency. If it’s a software problem, they would immediately demand action from the software vendor, who will drop whatever else they are doing by and fix the problem.

The “journey of being not a bank” is puzzling since someone who doesn’t want to be a bank really isn’t someone who should be holding client funds.