If I'm not wrong when you go with your own registered account, you need to pay taxes. For this reason many people prefer KYC free platforms. Most of the time these Kind of fake bets can be seen on the no KYC platforms. Until one is registered, they'll be provided with some small bonus requesting to complete KYC. These users at times suffer, as they won't be able to claim any issues. Fake bets were a way to make users do KYC, because users are now aware about the winning probabilities of different gambling platforms.
Well, I think it is quite obvious, that if a website is going to not follow the law and find shady ways to do business, then its obvious they will be doing more things which are not trustworthy.
KYC is a bit of a double edged sword. It protects both the website owners and the people putting their money into that website. So if something goes wrong, its easy to prove whos money it was and who took it.
But then again, not everyone likes paying taxes or giving away private data.
Not giving private information is mostly the case from those people who don't want to process KYC, like what you have said, the process is a double-edge sword a good protection to assure that the site will be able to recognize all the transactions that you made, delays can also be avoided in case there's other unexpected concerns happened to you account.
I agree from a post above you, alluring other gambler to process KYC after seeing huge amount of bets from streamers. The implication is the site is good enough to handle those amounts.
It's still the gambler's obligation to deal with research before trusting any sites or follow any streamers.