I agree that using decentralized methods to sell crypto for fiat is way to go. Meeting up with someone locally or using platform like Bisq provides secure and private way to trade. It is good option that Bisq allows for anonymous transactions without need for KYC reducing risk of funds being frozen.. Additionally avoiding centralized exchanges saves on fees and minimizes risk of technical issues. However it is good to ensure that you are complying with local laws and regulations when engaging in peer to peer crypto transactions.
What is worrying someday that the regulators and governments will be forcing the people that develops these decentralized exchanges for whichever purpose they are with, data, txids, etc. Yeah, they're decentralized but there's a probable way for the law enforcement to track them and do what just they've been doing to those projects, cryptos that are into privacy.
I am afraid that it is not impossible to happen. But as long as we're able to enjoy these platforms that promotes decentralization, we're good but just to give some thoughts about that day and it will come.
And going on with the centralized exchanges, before, they'd question you and ask more details about you depositing and withdrawing 10-100 Bitcoins. Now, they might even question you more about 0.1 and even lesser while the price of Bitcoin is going up even if you've already passed on their kyc just for that sake.