But the regulator didn't refuse to allow anything. They said FTX was an illegal, unlicensed, security exchange. Then did nothing (except fine Kim Kardashian)

But the regulator didn't refuse to allow anything. They said FTX was an illegal, unlicensed, security exchange. Then did nothing (except fine Kim Kardashian) despite it literally being their job, by their own admission (by their own demand really). That's the problem here.