unfortunately kyc is almost useless since people can find ways to fake it,
there's people who buy data in the darknet and others who pay someone else to submit documents and photo verification instead of them.
Not with live interviews. A higher level of KYC verification involves video calls to know if the person submitting the documents is really the owner. This way your stated strategy will be nullified. As one of the replies here stated, if anyone doesn't want to undergo KYC, he can just look for another Casino that does not require KYC verification, no need to make a big deal out of it.
I once did that last year for a project I was part of, I was working with them and it was a small team and they wanted to do KYC in a company to make sure that people know the team was legit.
It wasn't anything big, something like 2 minutes max, probably not even that much, they just asked a few questions which was like what is your name, what’s your birthday etc etc like to see if I know the answers to the forms I already sent and the ID, and I replied and it was fully correct and I was fine. That’s what I cared about, I know for a fact that there isn't any wrong in there because it's literally me; but to give this much information online? That was a horrible feeling for sure.