In my personal opinion, it is very natural for most investors to think that regulation is a good thing, because with the regulations that have been set, it is certain that every market cannot manipulate crypto prices, even the government does not want to be regulated by any party.
My take is that many investors who are accustomed to centralized classic investments and systems may be eager to put some percentage of their capital into Bitcoin or Ethereum (as part of their risk investment portfolio), but they probably feel discouraged by the collapses of platforms, the hacks/heists and the scams dressed up as legitimate and registered businesses.
They are willing to risk some capital in order to get some gains, but their are not willing to go down 100% just because they got robbed or a CEO mismanaged their funds. We can handle it, because we read and practice self-custody and know how to spot most of scams, but those investors do not care enough to become part of the community and learn about Bitcoin. They want to invest and go to sleep with no worries.
