Making money at a trading or investment firm is serious work, and no one takes it lightly. Using your example of writing options, market makers who do this are very cognizant and paranoid about the risks involved.
However, excess kurtosis and skew (left side tail risk) has definitely wiped out a number of firms, so your point is somewhat valid. I just wanted to point out that when every trader at a firm has their life savings in the company fund, they don't go around slinging YOLO trades. This is serious business, and the vast majority of participants act accordingly (I have met some idiots tho, but most of them went or are going out of business).
But it doesn't take that many idiots to cause a lot of mess, so that's another factor to consider.