As for KYC, sad to say, almost all casinos now are going to require KYC as this have been mandated by regulators, specially if you are going to withdraw some money or if the casino itself deem it needed to ask for more info before proceeding with the withdrawal, maybe there is a red flag on their part.
That's right. Nowadays you either choose a licensed casino with KYC or unlicensed with no KYC.
The only thing that should be frowned upon and I really wish people were boycotting casinos that do it is not asking for KYC on registration and when a player loses money, but making it hard for him to withdraw when he wins. Suddenly stupid requirements like proof of residence, utility bill and such come up when you want to withdraw a win.