You cannot have less regulation than "no regulation" and you cannot have more regulation than "completely forbidden", which are the true extrema.
A complete ban for all is obviously _more_ restrictive than a ban on entities explicitly approved by the legislative, it doesn't really matter if those entities are state owned or private sector since none < some
To make myself perfectly clear, I am generally in favor of a complete ban on any non-cryptographic algorithm with provably non-deterministic outcome (same data goes in, meaningfully different data comes out each time).
A complete ban for all is obviously _more_ restrictive than a ban on entities explicitly approved by the legislative, it doesn't really matter if those entities are state owned or private sector since none < some
To make myself perfectly clear, I am generally in favor of a complete ban on any non-cryptographic algorithm with provably non-deterministic outcome (same data goes in, meaningfully different data comes out each time).