The way he worded his question doesn´t leave much doubt that he meant the former - he used these exact words, after all.Are you asking why God declares what is sin, or why the sin is a sin?
Anyway, if you think there are other ways for something to gain the status of "sin" other than by god´s decree (or through the fact that god doesn´t like it), I would of course be interested to learn about the mechanics of those processes, as well.
An introductory definition of "sin" in your use of the word might also be helpful in understanding the distinction you make in your question.
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