The KYC mechanism of Binance isn't annoying at all and anyone could do the KYC without any issue, however, some people are highly against centralization and only for them KYC is an annoying procedure. I must say that CZ is truly among the best crypto nerds out there and he has made his position in the hearts of crypto-currency fans. The guy holds a lot of power in his hands when it comes to crypto-currencies, even a single tweet of the guy could influence the value of an asset to very high levels.

When an exchange like Binance is shut down the consequences for Bitcoin won't be good at all, but it's very unlikely to happen because Binance holds its position in the crypto market and even United States and Sec are aware of that. They would never do anything to shut Binance down because with that simple act the whole world could face huge financial problems due to crypto-market crash. If they take any strict actions against Binance to shut it down then things won't be in favor of anyone, the whole market is likely to crash after Binance shutting event and this time it would require so much confidence of investors to revive the market once again.

The United States is taking such actions against those exchanges to stop investors from putting money in Bitcoin, and they have a valid reason for doing that. They want to control the dropping value of dollar and at the same time they are doing it to pose huge regulations on crypto-exchanges. There is also a chance that US and Sec are planning to create a way for CBDC's to take huge share of the market and they will give more time to their plans. They might be doing that to create a scenario in which everyone may transition to CBDS's instead of current crypto-currencies, and that thing can happen if they win the trust of the investors.