Being a KYC compliant doesn't mean it will kill the crypto ATM but the EU just want it to make it safe in the future that the illegal people will not be able to easily use the ATM for their illegal activities and i see nothing wrong about that. If you want to buy huge Bitcoin then just do the KYC, there is nothing wrong about that as long as we have nothing to hide and the ATM is legit.
In my opinion, Europeans did not kill the crypto ATM business even though it used KYC, as I did to protect users from being used for money laundering. I see Europe is quite good at welcoming the presence of crypto and making it more developed.