indeed most websites will end up adopting it if they want to comply with regulations
If we live under control of governments, we must comply with their regulations when they launch regulations and seriously execute them. Cryptocurrency and blockchain are too new but soon we will see more regulations that only make things better.
just for the records, KYC won't make a website more secure, if anything it'll make it less secure since the system can always be gamed by bad actors and documents can be sold on the dark web too if there's no good security system to store the data in a secure way or verify and delete it
Security of a website is not about KYC that is more related to money laundering detection and protect companies from governments. As companies that have licenses, they must comply with regulations and KYC is one of things they must comply with. KYC does not a website is better or worse.
can you tell me more about how regulations will make things better?
the transition from web 1 to web 2 had lots of regulations and it just paved the way for surveillance capitalism, it made things better for the geeks (like us) and for the elite but not really for the general audience.
with web 3 we're moving back to decentralize, it's simply against its nature to regulate
it flows.