They can sponsor any team that they wish and even if a team is from the banned countries for their casino, it's what they do freely. There's a reason why they can't operate for those specific countries that are indicated on their websites and it's all about the laws. As long as they don't meddle with the people there to gamble onto their platform, that's not a problem to sponsor that team. So, what you gotta do now is to simply move on because there's no way that they're going to unblock your friend and for that reason, there's a purpose why they ask customers to comply with KYC and it's with reasons like this. Once you hit and they see that you're from a country that they don't support and ban from their platform, you'll get what they'll gonna give you and that's to restrict you from their platform. It's not the end of the world for your friend but does he have remaining balances there? If there is, he should be allowed to withdraw it by contacting the support or posting on their ann thread.