The issue of KYC always raises questions whose answers are mostly not very discerning to the ears. It is quite unfortunate, I know most crypto enthusiasts are not comfortable giving out their personal information for KYC but there is little we can do about the situation at the moment. Most of these projects claim they are under a legal jurisdiction where KYC is very important for many business projects. The new trend is increasingly becoming worrisome as many airdrops are even requiring KYC verification from participants.
It's true that as I know some businesses need KYC to know their customers, because some regulations concerning E-business in some countries are very strict, so far in addition to avoiding fake customers, multi accounts or the like can be a little overcame. For me to personally give my identity depending on the benefits obtained whether it is feasible or not, how serious the developer is about the security of their system, identity is very important and should not be known to everyone.