There's a distinction here between law and regulation. Even hard core libertarians don't think there should be no laws. That's a straw man. They tend to believ

There's a distinction here between law and regulation. Even hard core libertarians don't think there should be no laws. That's a straw man. They tend to believe governments should vigorously enforce contracts, trademarks, punish fraud and provide other tools that make commerce easy. In other words that they give people the tools to keep each other honest, but don't try to directly mandate every detail of every product. The word law tends to mean these general, timeless rules that often date back a long way. They don't create ossification or stagnation (Thiel's primary concern) because they don't advantage any particular way of doing things, just enforce fair dealing and honesty. The word regulation tends to be used to mean rather modern and very sector-specific rules, which frequently ossify existing practice and prevent people trying anything new. Often they are nakedly about doing exactly that - taxi medallions are one such form of regulation. The people who support such regulations invariably claim they're about safety or preventing some sort of harm. The evidence for this is highly mixed. It often relies on an absurd, cartoon-character view of companies in which they'll happily kill all their customers to make a quick buck with no concern for long term consequences whatsoever, if the noble and morally pure government employee doesn't step in to stop them. But there are plenty of cases where regulations seem to have created more harm than good, and vastly more where it's ambiguous. Do we really need governments to regulate the taxi industry, for example? Arguably not. It seems Uber is widely judged as being a better taxi regulator than the government, as it can use far faster and more plentiful feedback vs the paper or faxed complaint forms governments typically provide. Libertarians often make arguments of this form - that the alternative to government regulations is not some anarchist wild west in which people go mad murdering each other with explosive contraptions. The alternative is private sector regulation of various kinds, in which logos and trademarks are used to establish meaning behind a mark and consumers gravitate to products that have those marks, as they're understood to be a sign of quality and safety. The advantage being that if that organisation succumbs to various kinds of dysfunction, like capture, or stagnation, then another can come along and outcompete it. Whereas with government regulators that can't happen - you can get endless decades or even centuries of unfixable dysfunction.