As almost every casino has KYC system where kyc is required when someone invests huge money or wins huge amount. In that case I don't think a crypto casino can be a big cause of money laundering. Because if someone is doing money laundering there then his identity will be revealed due to KYC so I don't think anyone will choose crypto casino as a money laundering route.
There are so many ways to launder money, not only in a casino. A wise criminal will find the best way. Those who use a casino are I think have another purpose other than to launder money. Maybe they literally want to play a gambling? To have fun or to possibly increase the money that they deposit.
There are gambling sites which doesn't mandate a KYC and if the site blocks them upon withdrawal asking them to upload their KYC, I think they will use someone else identity. There are so many things that you can do if you have lots of money and you can easily get away with the crimes that you will be doing. This is the power of money.
Well as I have said on previous occasions, the biggest money launderers apart from drug traffickers are governments, and people who discover businesses in particular do not use casinos, a long time ago they told me about businesses with credit cards, and I wanted to pass them on because it belonged to people from some parts of the world who leave them and don't care, I refused once and for all, because no matter how much money a person has, they don't deserve to have it taken away or stolen, in fact I said that It was an illegal act and they told me that it was from the government, and I told them that I did not believe them, the government does not launder money that way, they have much bigger things to launder money, finally I asked them again and they told me that Those cards were given by a credit card generator, so things in the world do not go well for those who have good intentions, laundering money in a casino, is something that I do not see being used much either.