Are regulators not people? Are they infallible? Are there no obvious market mechanisms that will punish con men peddling their inferior products?

Lessening risk is far more important than not stifling innovation

I don't think this unqualified statement makes sense. Shouldn't the opportunity cost of the benefits of innovations not produced, weighed against the risks present in allowing a market to produce them, play a factor? And this would no doubt be different for each and every possible innovation.