Thank you both. I've figured out what the issue is. The Installer for MacOS has been compiled for Intel processors. It does not work with the new M1 chip. Either due to incompatibility with the new chip, or Rosetta is unable to work via USB Debugging/ADB for some reason. When I tried to install using an old Macbook Air with an Intel processor, then the installation worked.

Yes, some like Open Camera can even use all cameras if you device has multiple. In regards to banking apps, there's no assurance they will work, it really depends on the app.