And then how do you get the money to/from your bank?
Your choice. How do you want to get the money to/from your bank? Direct bank transfers with your trading partner are the most common. If you don't like that, then you can use a huge selection of payment processors - PayPal, Skrill, Advanced Cash, Zelle, Western Union, Cash App, Venmo, MoneyGram, TransferWise, etc. Pretty much any one you can name. Don't like that either? Then trade in cash - in person, via mail, cash deposit to a bank account, etc.
Now you're on every analysis companies watchlist. You should take it for granted that they'll sell it to politicians, other CEX's, other data analysis companies etc.
Don't forget darknet markets. A significant number of users who have completed KYC at a variety of centralized exchanges have ended up with their information and documents for sale on the darknet. I challenge anyone who says they don't care about their privacy to try having their identity stolen and $100,000 of debt racked up in their name and not change their mind.