I suspect we'll see a clamp down and regulation of the market
Nope. One of the main points of bitcoin is that it's a crytocurrency, and designed to be unregulatable. Part of a wider cryptoanarchy movement.
Bitcoin itself, as "version 1" and a proof-of-concept, might be superseded by something else (e.g. litecoin), but cryptocurrencies are here to stay.
anyway, these Cryptolocker guys are making an absolute packet... by some estimates, tens of millions of bucks