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Step one is being *extremely* cautious with regulation, acknowledging that it's sometimes necessary, but almost always cuts off potentially healthy branches along with the sick. There is no easy answer, only tradeoffs to be made.
Step two is to look at the way capital is organized and whether there are accessible paths for people who want to try something new — and if funding channels are insufficiently diverse, consider changing tax incentives so new & smaller players expect to gain from trying things
