Do you avoid sites that ask for it? Or do you not mind as long as the site is good and trustworthy?
actually I have no problem to submit KYC if it is necessary... as long as it's a trusted and regulated platform, they should have a good reason to ask about my identity. maybe for other users they are a little reluctant to submit their KYC, but I personally see it more on the other side that it is required for withdrawal, and there is no other way but to obey it.
In my opinion, the problem with KYC is that you, as a user, don't know exactly how your personal data is being used and stored. In addition, there is always a risk that this data can be stolen by hackers at any time, and this can happen on any "trusted" centralized platform.