What’s the point of non-KYC BTC?

Apologies for a slightly click baity title - let me explain.

Let me preface this that I believe in Bitcoin and have been buying it (on centralised exchanges) since 2019 and am intending to continue to do so.

Eventually I’m planning to sell some of it to buy a house - here’s where my question comes in. Currently the exchanges have visibility how much bitcoin I’ve bought so far and by proxy the government, should they request the data. What’s the benefit of buying Bitcoin on a decentralised exchanges if I’ll have to re-enter the fiat ecosystem at some point again (assuming hyperbitcoinisation doesn’t happen in the next 5 years or so)?

Am I right in thinking the proceeds of the sale bitcoin will have to go through checks on the bank side (AML, tax purposes etc.) effectively nullifying the benefits of holding non-KYC Bitcoin in the first place?

I understand the privacy-related concerns but struggling to not see the benefits erased if having to convert to fiat for any meaningful sum.

Curious to hear what your end-game plans are.