This is why it's always good, no matter how small your business is, as soon as it's getting bigger and attracting attention, making the move to register the company under the right authorities where you provide service is really a good idea.
Easier said than done, smaller business will have a hard time to do that.
But the difference is binance is already huge exchange since 2017 and it does attract more and more users all over the world, yet they still not doing anything to these people came from countries where binance is not regulated yet. They can actually give warning that not accepting from these countries but instead they keep accepting people then ask KYC when they are not regulate in the first place. And now, they are suffering from different authorities suing them for good.