This is true in the social bubbles you and I likely occupy but very much not (yet) true elsewhere.
I have had many conversations with friends and family that are outside of tech asking my what crypto is and if it's something they should invest in because all they see right now is the hype, excitement, and ads from crypto companies.
I think this should really answer the question, and I don't quite understand how anyone can be self-aware enough to recognize these things without also connecting the dots that "companies which do those things to promote their products are not generally trustworthy at-large"
I know this phenomenon all too well though. It's the classic formula. "Generally Well-Understood Thing" is familiar to lots of people without need for any special qualification or training to understand the thing across a fairly wide range of functional parameters. "Generally Well-Understood Thing, but On The Internet" on the other hand is a completely new animal with all old assumptions required to be re-examined for a new understanding from first principles, assume we know nothing.
The understanding is tried, too many foreign concepts enter the discussion, often the desire to understand "how this is different" results in an under-founded belief or assumption that adding the internet DOES in fact somehow make this thing different than it was before, end with a newly emergent confusion overarching the whole and 9/10 times no further understanding is gained and no connection between the two ideas of "thing" and "thing on the internet" is retained.
As long as media is somehow seen as normal and people don't question e everything, you need consumer protection laws.
It's that easy.
If you watch cable news you will see a commercial for a crypto company followed by a Vanguard commercial followed by a Fidelity commercial. In the wider world it is not massively ridiculed and is presented in the same way that more traditional investment companies are.
Cryptocurrencies aren't investments. They're gambling, and regulations should require advertising, exchanges and NFT platforms to say that.