I know that it isn't very popular in the cryptocurrency world but I really don't think all regulations are absolutely evil. Unfortunately I think some of them are going to figure it out the hard way.
We want to keep the number of scam artists to a minimum, and especially to reduce the number of training grounds where novice would-be scammers become practiced experts.
Even if we have zero compassion for people who get rooked, there are a bunch of negative externalities to scams. A giant one is that trust is the lubricant of the machinery of the marketplace. The busiest and most efficient financial marketplaces are the ones that are the most effectively regulated. E.g., many foreign companies list in the US because people trust US regulators better than the home-country regulators, meaning they can raise money more effectively here.
A good analogy is restaurant health and safety inspections. If they didn't happen, more people would get sick. If people were often getting sick at restaurants, they'd go out to eat a lot less. That harms the whole industry, resulting in sub-optimal outcomes for both businesses and consumers.