Sincerely speaking, with the way this are going I think regulations will be a better option for ICOs, that will reduce some level of scam and will build many trust back to the cryptocurrency business.
Although regulators can reduce the number of scam projects but there is no guarantee that investors will get profits after their tokens are listed on the exchange. So in my opinion, what we really need now is not only regulators but also investment insurance platform that can cover the losses of ICO investors.