Crypto casinos isn't just about KYC and KYC isn't that thing which makes them legitimate. Many of these casinos promoted on Bitcointalk isn't legal in different jurisdictions or goes into grey zone. Many countries just doesn't accept licenses issued in Curacao and other offshore countries.
Exactly. It's not a binary logic: legal or illegal. Technically speaking, casinos would need licence for each country they provide their services to (unless a country does not require such). So if a casino want to offer their services to say UK customers, they'd need a UK license, if they don't have it, they should be restricting players with UK's ips (that's what e.g. Stake or FortuneJack do).