As for what's good for Bitcoin; I'd say Bitcoin scammers behind bars. That would be excellent in deterring future scams.
That seems like a stupid idea. Not only would it not deter others from scamming (they'd just need to avoid publishing their details to scam without risk), you'd actually deter others who made stupid mistakes like this one from coming forward and attempting to fix their mistakes.
Now apply your reasoning to non-Bitcoin crimes, like burglary.
OK. Burgling someplace without leaving a (usable) trace is pretty risk free (albeit more difficult than stealing bitcoins) - others getting jailed for burgling won't deter a good enough burglar. If, OTOH, a burglar admits to his misdeeds and tries to fix them, throwing them in jail won't be an incentive for others to follow their example and come forward and fix anything.
That easy enough for you to understand?