[Mirioron]

Banking has arguably got worse since banking regulation, because regulation allows for fractional reserve banking and doesn't allow individual banks that aren't part of the system. This means that if the government doesn't keep exactly on top of their regulation then bad things can happen, because the government basically insures the banks and won't let them fail (since the system becomes too big to allow to fail).

It doesn't help when the government gives out bad guidelines either. Eg the lending guidelines given by the Community Reinvestment Act. Suing banks for having too strict guidelines for lending out money coupled with easy money ended up in the 2007/8 financial crisis.

Would it have been better with less regulation? Maybe, maybe not. But it's definitely hard to say that banking would be unworkable with less regulation.