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I think this kind of falls in line with the idea that any press is good press but, don't you think things like this give people more reason to relate cryptocurrency to shady activity, rather than a legitimate platform? Couldn't it also force governments to swing the regulatory hammer even harder?

I still think regulations will help prevent hacking. Thus leading to new money in crypto. That's the hope atleast

Yeah, I can get on board with that. I just want it to be a "we'll make sure it's safe and get out of the way" kind of regulation. I deal with SOX on a daily basis and can tell you that, while it does create some safety, it can be a huge burden on companies.