When a whole industry has an issue like this no single company can change something even if the fix is simple. They could change it from NO KYC to NO KYC TO START PLAYING and it would be solved, but this casino that does this first would lose many customers and be less competitive than the others who just claim NO KYC. So why would it do this on its own if others will not do the same?
Stop giving th3m new ideas to tryout on their upcoming daughter casinos.
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At least I am giving a small improvement, because advertising it this way would be much more accurate than to claim there is no KYC. Actually if it was advertised this way, then it would even more shift the responsibility and fault to the users for not reading or understanding how this works. The way that it is written right now puts more of the blame onto the casinos or the industry. Now that I think about it, my idea would also make it worse in a way because the casinos could continue the same practices but now have a better defense as the blame would be almost 100 percent with the users.

The player will still actually be blamed. On a serious note, we are not supposed to just trust any casino by just what it says and believing them by their word or just relying on banner description to join any casino. It is proper to do a thorough check on the platform, check reviews, check their TOS also and this will give you a heads up on what to expect from the site than just believing anything the site says on their banner and registering.
The important thing is not who is going to be blamed, but the important thing is who is rightfully blamed and has the responsibility. Even under deceptive marketing, as long as it is described somewhere on the website like the terms and conditions it creates room for blaming the user. It would be only 100% fault of the casino if it was advertised that way but it was not clarified anywhere that there are cases or scenarios where they will ask for KYC. If things were more transparent and clear both sides would have it better, but for now that is only a dream.