There are so many victims of identity thief. People are often victims of these and they are not just anything simple, usually the crimes committed by the offenders using their identities are heavily punishable under existing laws. And if for just a penny you will be exchanging your identity, then it would not be that reasonable or fair. I think the best thing that we can really do is not to accept any of there offers so that instead might change their minds and allow you to receive even without KYC. Should they give several thousands or millions I would sign even how many KYC forms for that, but this isn't the case and so I would never accept such an unfair offer.
Coordination is what really matters if we are to move things forward and effect changes as users, do we really belong to the same thing or oneness for us to agree and carry out a specific instruction ? You might decide today not to accept projects that are KYC restricted, but what about others too, would they do same.
Your decision to not participate might not really make much difference, since there will always be someone to counter it in the market, so the best is just to personally handle our things, check for ones that we can trust, make research of them before submitting any KYC to them.
Ya it is true that it is the decision of the users who wanted to give their identity proof for penny but their are also users who have fake identity proof and they are utilizing them. But still submitting KYC to all projects are very dangerous as they can do anything based on out KYC proofs.