KYC is because of regulations nowadays of sec and i see it was required in general to have a legality before conducting and ico than facing the laws after the successful crowdfunding. Everyone should be smart to look into the credibility and research on the informations of the team and not only hoarding in the project.
This is in fact a good idea and I like it. It also gives investor the power to confirm or know the team before investing in the ico. Know your CEO will dramatically reduce the scams in the crypto space, KYC know your costumer on the other hand is applicable under AML anti money laundering which is not the reason of the scams. In addition, IEO has provided a new mechanism of fundraising that has eliminated the risk factor.