In as much as we all clamore for a decentralized casinos where kyc will be non existence, we all should understand that both centralization and decentralization have their pros and cons - and one of the cons of decentralized casinos will be that it's less enjoyable playing there, than it is with playing on centralized system, and also consider the blockchain transaction fees you would have to pay every time you click the spin button, now, imagine clicking spin 100 times and paying blockchain fees 100 times, at the end of the day, if you do not win, you have not only lost money spent on bets, youve also lost money on paying transactions fees.
We almost forget about the transaction fee but thanks for reminding us. You are right, I remember I once use a DEX and each action I made costed me a transaction fee. Fees on ETH network isn't high that time but its only sucks because most the actions that I made is failing. I get lots of errors and I didn't notice all the fees that I spend until I look at the block explorer.
I think for someone who badly hates KYC, they will consider these consequences and usually, these people have a bigger budget but for those who only have a limited budget, there are still gambling sites who doesn't mandate KYC to small players. They will always opt for this.