As what I you said, players creating an account agreed with all the terms so it has nothing to do with reputation unless the casino make a sudden change in the terms to do something against the players.
Anyway, this KYC thing seems to be a never ending discussion as it is being discussed in so many threads LOL.
Agreed. KYC related discussions were less in number several years ago because most crypto gambling sites never asked for KYC unless absolutely necessary, but that has clearly changed in recent times thanks to the rise in popularity of crypto.
What's messed up here is that some sites actually use KYC as an option excuse to avoid paying winnings leading to rising customer complaints.