We use Binance internally as an "institution" we are fully KYC/AML verified. User won't interact directly with Binance we only use their "api' for trading and liquidity.
That doesn't mean they won't block you from using their services - which they could do.
The Indian exchange coindcx used to allow users to trade via kucoin and binance's liquidity - they may still do but this is an example to show it's possible.
I think it'll be hard to compete as a new cex but you might not lose much by trying to test the waters if you already have a script. You could harness liquidity and arbitrage from dexes too and other exchanges which might not yet have been done (as long as you're not shouldering fees for eth<->erc20 transfers for example).