Both. Unless you are trying to insinuate that having protection against obvious scams is a bad and selfish thing.
Because i never asked for the SEC to protect me. We can live in a world with both. You have coinbase with way more backing that bitfinex, and people still choose bitfinex. Let people choose, and if they mess up they mess up.
And you don't live in isolation; you are not an island. Those people that get scammed? They're not going to do so in isolation. That's going to have a ripple effect on the rest of society.