What I am concerned about is when government agencies write regulations or make proclamations that are intentionally vague. That is enough to deter a lot of legitimate businesses from even getting involved. They don't even need a law to pass, they could just say something like if you make a transaction its up to you to know the counterparty's source of funds. What does that mean? Do I have to go see their office and see their business licenses, then go check some registry to make sure they are 100% legit? What if I do that and it turns out they still did something illegal? Regulatory bullshit that keeps legitimate investment out.
If they addressed your concerns with their replies, I didn't see it. It was all "big banks are joining", and "the stock price is rising". You have very legitimate concerns.