I think we need rules.
Because, basically human nature is greedy. Now with the many regulations issued by the crypto and the government there are still many people who abuse it especially if there is no regulation at all.
I agree, we need rules. But couldn't some basic rules be implemented in the code and leave the rest for the market to decide? Why do we need governments to decide for us? We have trustless (i.e. there's no need to be trusted) consensus mechanisms. There is and there will be many new tech solutions that could potentially replace the whole institutions.
Could you imagine a vast majority of governmental institutions be replaced with a few scripts that don't require billions of dollars to function?