I think the battle is lost with KYC. KYC is only forced when you exchange fiat for bitcoin. If you only earn and spend in bitcoin in self-custody the privacy fight gets a big boost back. There is still the question of being able to track you once your address is pinpointed but that is where features like coinjoin becomes very useful. I think that creating the circular economy, never touching fiat, will help a lot. And all this that is happening might be the awakening moment we all need to actually start using bitcoin and only bitcoin as much as possible.