I have seen evidence of some scams being run under the guise of KYC in order to gain your passport and government issued id's. Be careful out there and remember that a lot of these coins end up being scams. Do you really want them having your passport/photo identification? This is how people fall victim of identity fraud so please think before sending your information in.
You need to be very careful when choosing a project where KYC is required. Especially if you are involved in bounty or in airdrops, it can be very dangerous.
It is not enough to be careful in this market when almost all the coins are scams, so if you see a bounty campaign asking for your information through KYC then the only thing you can do is to avoid that bounty campaign and if after you participate in a campaign that did not ask for that information the developers decided at the end they wanted that information anyway then you need to give up your coins.