This isn't required. I opened one last week and did not have to do this...
That said NOSRT is very overrated and its retention rate is even worse then ours here which is saying a lot.
!PIZZA !ALIVE !BBH
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This is Primal. As you can see, the Primal client requires KYC to use the built in wallet.
Connecting another Lightning wallet to Primal requires using NOSTR WALLET CONNECT (NWC), which I tried to do, but was very difficult so I gave up.
Which NOSTR client did you use? I might give it a try.