Banks are very easy to understand. They are not hedge funds. They are financial intermediaries. They stand in the middle:
1. Between depositors and borrows
2. Between seller and buyers
3. Between "risk on" and "risk off"
They prefer to clip the ticket on the way through and go on to the next deal. The best income for a banker is fee income.
Unfortunately the requirements of depositors and borrowers, sellers and buyers, punters and hedgers don't always match and the banks are left with mismatches in timing and basis. That is where 99% of bank risk can be found.
From a bank's perspective, miners are typically risk off-borrowers.
