Its a reeling of the lawmakers against reality itself. If you read Jules Verne- you always could find and make dangerous chemicals from natural substances and thus by the power of chemistry - you where suddenly a owner of nitroglycerin and owner of a dangerous "substance".
So, the danger is in pre-emptive policing- aka capability reduction. In its extremes it results in what china does- which is producing dangerous objects on mass (every shop has a lathe that can make a gun) - while constantly looking over each other shoulders to see who might ferment revolution or amok. Same with chemistry. Same with software. The panopticon as patchwork counter measure to accumulating dangerous capabilities.
But it can not go much further. If you have a psychological normal individual that buckles under stress and hand it a photon torpedo- the spaceship goes boom. You need "unrealistic" humans, the angles of star trek to be able to handle that sort of capability. Its a whole group of problems, which started with nuclear power.
Basically, the material science on humans and organizations is lousy - and the stress tests showed that we fall apart under duress.
Which is why california tries to limit it, while at the same time idealizing human nature as benevolent and at the same time driving onwards technologies, which wind up the lethal mouse-trap of capabilities with ever more potent dangers. Which as paradox as it is, is a expression of a inability to deal with reality.