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I mean KYC is pretty basic thing. They need to know who you are legally by gambling and casino regulations based on the geographical laws in which it resides. I guess for a casino they see that you can't pass the KYC requirement to claim the winnings therefore the transaction is void and the house wins. IF someone was to argue that in a court of law and they can't even answer some simple KYC questions I think they have some other problems that they make for them selves there. The casino knows this and thats why they get away with it.
Therefore, before you decide to make a deposit on a gambling site, you must first read the TOS carefully so that you don't get trapped or feel trapped in the future when you want to make a withdrawal. If you really don't like or agree with KYC, then just leave the online casino and go to another casino that doesn't require a KYC system, but if you compare it with gambling sites that require KCY, the number of gambling sites that don't require KYC is very small and also Licenses are sometimes unclear.