If I wanted to accumulate some BTC anonymously and just hold it
would this work?
Buy XMR on a KYC exchange.
Withdraw it to a Monero wallet connected by TOR or VPN
Transfer to a second Monero wallet connected by TOR or VPN
Send XMR to a non KYC exchange and buy BTC
Withdraw to BTC wallet connected by TOR
Any corrections, suggestions, or better ideas?
Yes it's correct, an easier option could be using a mixer straightaway, something like Chipmixer can easily help you remove the traces of your funds which means once you Buy BTC in a kyc exchange you then transfer your holdings to a mixer and then to a private key wallet and your funds will be safe. But yes in both the cases you have left the trail when you bought the funds so authorities eventually know what you started with.