You argue that I am wrong to assume that it is not the case that every individual will carry out proper due diligence without regulation. I'd argue the onus is on you to prove that they will.

The fact is the current system has regulations because it requires the companies to carry out due diligence for the benefit of the citizenry. Your unsubstantiated claim is that without the regulations 100% of companies will do this anyways 100% of the time. If you could prove this I'd have no problem with abolishing the regulations, however both history and human nature argue to the contrary.