The kyc (know your customer) process is basically submitting a photo of passport and sometimes utility bill to prove your residency. In many cases US residents are barred from investing unless they are accredited investors. Other countries have also banned icos and kyc will also fail if passport is from there.
As a result be careful investing if kyc is needed or ico may keep funds if you cant pass. Best to wait until coin is on exchange and buy there.
You don't used to need anything to invest in ICOs. I never invested in one, but it was way easier. If your IP was banned, people simply got an VPN to circumvent the ban and they were able to invest anywhere they wanted to.
If you are going to invest in an ICO that requires you to take a selfie picture while holding your ID... do as much research as possible. I wouldn't like my dox to be sold around on the darknet, which is why I would never give personal details to anything crypto related, I simply don't trust anything/anyone, too many scammers.