Mandotary KYC for Defi platforms? LOL that's a joke? They will just kill crypto innovation in Europe. Because crypto platforms can incorporate them in a country at the opposite side of Earth, in just few days, or even hours. We are seeing that with crypto casinos. And some platforms are not even incorporated anywhere actually. In the end many services will just go hide on TOR or I2P to escape legal persecutions, and it will be even more difficult for authorities to monitor them.
Setting up a platform in a country that does not regulate it will be of zero use to users in the EU unless you intend to ONLY use crypto to pay for all of your needs. As soon as one exchanges into fiat you will be screwed because your assets have no proof of origin.
Come to think of it, even just using crypto for your expenses will not work unless you only deal through the black markets because all reputable vendors will also want 'clean and verified' coins/tokens/etc.