People aren't as smart as you think. I know a lot of people who submitted KYC to unknown casinos that promised them huge deposit bonus and I know many people who made deposit on scam website because scam website promised them that deposit was necessary to withdraw money that they won. I have even seen some people filling jackpot forms on malware website that popped up in their windows with the title that they won the jackpot.
It doesn't surprise me that people would trust stranger, many people can't find a difference between legit and fake.
Why KYC is extremely dangerous – and uselessKYC is not favorite with me and many people but there are people who are very ready to submit KYC for getting bonuses, airdrops from exchanges, gambling sites. It's dangerous practice but they don't realize this risk and years later, when they are in this market a long time, aware about this risk, they will regret with their past careless practice.
It's funny when people complain about KYC on trusted platforms and think of people who are doing it too easily on new platforms, no record on trust, reputation.
KYC is important as it is what a regulated casino requires. However, to submit KYC just to avail a bonus, you should choose a casino with a good reputation. Eventually, even if you are not after a bonus and are playing on that casino, in the long run, you'll still need to submit KYC when required. This isn't new anymore, we have to accept the reality that crypto is not as it was before—no more anonymity. Every reputable casino is now regulated, hence KYC is just a basic requirement. It's just that some delay it while others require it right away when registering.