Isn't a big chunk of wash trading om a dead asset an issue? Doesn't that indicate something unsavory going on? Ianal, but, my understanding is that wash trading us illegal on normal markets - and for good reason.
Yes, wash trading is bad. But crypto was created to escape regulation, which comes with the good and the bad. "Go back to fiat if you want regulation" is a common mindset, though the idealists are being displaced by new entrants into the sphere, who mostly support regulation.