Having feature to deposit and withdraw in local currency is good but I myself will not use it because gambling is illegal in my country, while using local currency here (both e-wallet or bank) requires KYC and it can be dangerous for me to use local currency for gambling
Although it is rare here to see people get jailed because of bank transaction data but the government may ask the bank to block the bank account which suspected to use the money for gambling activity.
With latest attacks on Peer to Peer exchanges and Centralized exchanges with most common reason is failed Anti Money Laundering of the business. Accept deposits and withdrawals in local fiat currency will cause more risk on the platform to detect suspicious money transfer activities from users and increase risk of lawsuit and sanctions from government.
e-wallets, banks are all targets to govern from governments on KYC, AML policies and how KYC/ AML is actually applied on a platform. It's hard for people behind gambling sites accept deposit and withdrawal in fiat currency while they know that they and their business will become a more favorite target of government.
With a proper license, authentic license from government themself, I do not think businesses, like online Casino should have any fear as to accepting deposit and withdrawal in the form of fiat currency from customers who are interested in using this medium of deposit or withdrawal.
You will agree with me that since the emergence if crypto and it's virality, the world of money and finance have been divided with one group rooting for crypto payment in all goods and services, while the other group have remained with what is known as the traditional way of paying for goods and services which is through fiat.
And like you and I know, some casinos are trying to serve this two groups equaly, which simply means that have to provide crypto deposit and withdrawal for the first group, and also provide fiat deposit and withdrawal for the second group, so non feel marginalized.
So, the thing is, any casino dealing in fiat deposit and withdrawals to customers should ensure to have a valid government issued license which permits them to provide fiat services to their customers.