I don't understand how libertarians look at the current state of things and conclude that fewer regulations would solve the problem.
Worse. It requires that doing so is effectively free. Otherwise, a successful strategy is to lower your product quality compared to your competitors by an amount just shy of the cost of discovering the lower quality. This leads to a race to the bottom.
Making a product cheaper to produce without affecting what people care about (or, equivalently, improving the performance without increasing the cost) is what drives productivity growth, and the relentless competitive pressure to do so is what produced the modern world. It’s not fun or easy, and yes, sitting on your ass would be easier. Oh well!
If you’re not saying that, then what is so hard to understand about the conclusion that we could solve some problems by repealing bad regulations?
This is a completely new product, in a category that never existed and no one was desperately demanding. It was bought with the disposable income of wealthy people who enjoy trying new technology and knew exactly the risk they were taking. Are you seriously going to dispute that? Why is this a space that needs to be regulated?