If I operate my own does that make me liable legally if people who use it do illegal shit using my connection?

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If your running a TollGate to sell non-KYC internet access to your KYC Telco's Internet gateway, you should probably us a VPN to protect yourself from your customer's traffic.

If your buying non-KYC internet from a TollGate and reselling it non-KYC, you don't need a VPN because your gateway has no clue who you are.

But if my customer doesn't use VPN, that doesn't protect me, tho, because I can see which sites they semd requests to. It only protects me from my KYC ISP knowing which sites I forward the requests to. Or am I misunderstanding it?

Ya it only protects you from your KYC ISP. The end user of the internet connection should also use a VPN to protect himself from the network.

The non KYC hops in-between don't really need to care much because they are buying non KYC and the traffic that they forward isn't theirs..

Cool beans. Thanks.