This is the nature of online casinos. They'll gladly accept any deposits without proper KYC documentation, but make it extremely time consuming to withdraw any large earnings. Is it annoying? Yes. Is it illegal? Nope.

Sorry that you're going through this process, but all of your complaints are clearly addressed in their terms of conditions on their site: https://www.bitstarz.com/terms

I'm fairly confident that you will get your earnings, given that you follow their requests and be patient, but it's going to take weeks or months.

I think it's a bit aggressive that you're calling BitStarz a scam because you have an open withdrawal. Just continue contacting their support team, and if the issue is not resolved after all options are expired, then come back here (with supporting documentation) to let us know that they're holding your funds hostage.