KYC faced the real security issues. Someone can steal your data by hacking the platform and use it for criminal purpose. But in other hand, crypto world still finding the best ways how to protect crypto transaction form money laundery, human trafficking and drugs transaction.
I think, its a big responsibelity to keep KYC data safe. If not, crypto will had bad ending.
KYC is a threat. It should not be implemented where the country of origin of the ICO is not requiring KYC for the participants or investors. I noticed that some ICOs are implementing this even if it is not required.
They are changing the rules at the end of the ICO campaign requiring even the bounty hunters who are not investors, to submit themselves for KYC. It's a bad bad thing as I doubt it could be used to fraud.
Unfortunatelly there are always such possibility that your data will be used to fraud (never know).
Back to the topic, I think it's easier and cheaper to require from everyone without any exceptions KYC instead of checking which country require which not and in the end if you do mistake will get subpoena.