But the fees are a lot lower and it doesn't mean that those protections can't be added back on on a different layer. You can also do a lot more with Bitcoin than with CCs.
It's only a market failure, because it's publicly owned. Oceans and air is tricky, but rivers and lakes can certainly be privately owned.
But, regulation is also a public good and therefore also a market failure... so you end up with regulations that harm 99% of the people, like in the case of Uber in France.
Regulation is a public good, therefore it is itself a market failure. Voters don't do hours of research to determine what constitutes rational regulation.
So, if there's a new law that will cost 990 people $1 each and the other 10 people gain 99 each... it will pass, because for 99% of the people it's not even worth an hour of their time to rally against it. However, the 1% that benefit from it can afford to organize entire campaigns to convince the 99% that this new law is for their own good.
Banking is the most heavily regulated industry there is. Regulators have offices inside banks, yet it didn't prevent 2008, HSBC and every other billion-dollar scandal.