The real problem is that this is necessary.

This same thing that keeps on happening when we try to reinvent things "without all that stuff that just adds friction." As with software, one should understand the underlying reasons for constraints in the old system before building the second one.

Banking -> crypto and NFT "without all that stuff..." -> wash trading.

Taxi service -> Uber "without all that employer stuff..." -> drivers with no background checks and no interview process

I understand part of this is routing around the damage of monopoly maintenance (medallion system, for example), but let's fix that instead of taking away the protections in place.

Sorry for the rant. I know this is like asking water to run uphill.