Correct, this is mostly used by apps like Netflix so you can’t screenshot or record copyrighted content.
Some privacy focused apps use the same techniques to protect their customers sensitive data too. I personally find it more of an overreach and an annoyance, rather than a protection. It’s often useful to take screenshots of my bank app to document a payment or a transfer to show a friend or family member.
There’s a middle ground to find here somewhere, but I would wager that’s down to the platform developers rather than the bank’s app developers. There’s probably work the bank themselves could do, for example block screenshots and screen recording in a context aware manner, but allow an in app option to share a transaction.
A bit of an issue with Monzo is they generate a lot of buzz from customers sharing screenshots and recordings of slick in app experiences that woo potential new customers.
I think the solution to this stuff stems far beyond banks too. Criminals as ever will continue to evolve whatever measures you throw up. So I think it’s important not to sacrifice convenience in the name of security, or more accurately, security theatre. It’s possible to establish a balance of both. It’s always going to be a game of cat and mouse either way.
I did notice recently, in screen recordings, Monzo actually hides the keypad for pin stuff, so no one can see you enter your pin in the recording. I think that’s a good example that hits a nice medium here.