The Bank of Japan pioneered this policy of "all money to the banks" that the USA has now adopted.

From the monetary-libertarian frame of view, what else they can do?

Japanese banks charge still a lot for their services. For example, I moved recently to a new apartment and wanted to arrange automatic monthly payments - but the bank is ripping 735 yen for each monthly transaction (i.e., moving a bunch of electrons) between two private accounts!