that's such a naive thought. You really consider the Chinese medicine illegal, because those horses are cute.
Only certain types of horses are used for medication which are not endangered and are legal. There is no much difference compare to you eating fish or shrimp. Plus in Asian there are tons of fish farms raising them. So the demand for wild has been reduced.
And keep in mind, China is not the only country using the traditional medication. Both south and north Korean, Japan, 10 southeastern Asian countries are all still using it. If you consider this is laughable here in America, simply because you are not fimilar with it. Then sadly, in those Asian country, you will be the one to be laughed at.