If a casino is really complicant, asking for KYC for insane amounts is nothing unusual.
Yes they can. I read somewhere that they do not require KYC. In that case, they can not ask for it.
Of course they can. e.g. Binance doesn't require KYC either (up to 2 BTC in their case), but try withdrawing 100 BTC day 1 and see whether that is possible.
OP could have the valid KYC
= couldbet verify it using whichever tools they have and know that it's valid but they hide the truth
How are you going to justify this?
Third party verifies KYC -> Cloudbet ruined.