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Not a good example. In Spain they notoriously demand id/passport and make photo or copy of it, they do it "for the police".

That’s the legal requirement yes, I’ve never seen a shop insist on it. Most of them have autofill scripts for the KYC forms.

Isn't the main topic of discussion here a legal requirement?

If everyone ignores it then what's the fuss about?

I’m just pointing out that in Europe the equivalent legal requirement is widely ignored, the same won’t necessarily repeat in the US, but it might.