Good questions, also there are different options available in different countries. Some are more open and other less sophisticated but more controlling.

My ideal would be to spend what I need in fiat and convert the balance to non-KYC BTC. Why this? So not everyone knows I have any sats to start with…

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What is the benefit you see in this option (B)? The no-kyc part I understand. 🤙

My thinking is from an opsec point of view. So you do normal life in fiat and you’re the same as everyone else - they don’t notice. The rest is in BTC where they don’t know. Result = no one knows you stack so no surprises.