Having said that, if any entity requests KYC in order to continue using their services they should at the very least allow those customers that do not want to continue being their customer the opportunity to withdraw their funds before closing the account. I am unsure how BC Game operate in this respect therefore maybe someone more informative will address this.
From what I have seen, several times. It's mostly exchanges that follow that kind of procedure. Where if you refuse to submit KYC verification, they will disable your account and put it on withdraw only.
I think the approach of asking for KYC right before someone deposits makes much more sense to me. The casino is already centralized and can ask for KYC at any time, so why not just make the customer verify right from the start. That way, if someone does not like uploading their documents, they won't register.
If a customer wins a large sum of money, they will just be able to withdraw without any KYC inconveniences since the account is already verified.