This. It's not a problem as long as the self-regulator is kept in line with periodic checks from a higher regulator.
It's similar to how income taxes work. You self-report all the figures, and then they are sampled and spot-checked and occasionally audited. The possibility of being caught by an audit, then prods people to generally submit truthful reports, because of the risk of penalties.
And then, if that incentive ceases to work, the self-report/self-regulate status gets revoked.
It's similar to how income taxes work. You self-report all the figures, and then they are sampled and spot-checked and occasionally audited. The possibility of being caught by an audit, then prods people to generally submit truthful reports, because of the risk of penalties.
And then, if that incentive ceases to work, the self-report/self-regulate status gets revoked.