It's a tricky question to answer. A lot of development is seen in the cryptospace since it's free and unregulated. People are allowed to dream up every possible product and use-case.
On the other hand, regulation would bring a lot of capital and adoption into the cryptospace. Is this something we want tho? The whole point of decentralized solutions is that the big actors do NOT get to control it.
Do we really want to hand the revolution back to the "regime"?
Caught between a rock and a hard place.