KYC exchanges are exchanges that guarantee the safety of their users, there may be some exchanges that do not use KYC, but as such these exchanges are less secure, and look un professional, I really like KYC exchanges because they are of good quality and professional.
Even the Biggest exchange like binance requires KYC though there is a certain amount to put this up and not in small withdrawals.
in which you are correct that KYC exchange will make you safety in all of your withdrawals and deposits more than those exchange that requires nothing .
But of course you can also use Mixers if you wanna Hide your identity but make sure to use reputable because there are tons of scam mixers that operates though many of them are already closed now.