It sucks to see the regulations hit the stablecoins, but it was kind of expected. The financial system wants to make sure that the money is inside their economy and having it in crypto doesn't help them. At the same time, the regulations makes it hard for the centralized entities to continue on with specific crypto coins. Binance has been hit quite hard lately so I am not surprised to see BUSD suffer.
Personally, I do think its fair enough that collateralised stablecoins are regulated.
They are just US dollars sitting in US banks after all.
But regulating HBD is a whole other kettle of fish.
Unregulatable!