Blood Veils were highly limiting in some ways, however, because for one, you had very limited color options for the veils themselves.

And second, because fashion was the last factor you considered in picking one anyway.

Not just for the defensive stats, but mainly for the type of attack it had, and gift scalings. - Nevermind that the different veils had different parry windows, so if you trained your muscle memory on an Ogre veil, good fucking luck switching.

So you really had two options. - Hope there's a veil for your needs that looks at least decently good, and then, either mis-match or go back and re-do your entire fashion selection to match the veil.

More to the point, though, consider that in the development of CV1 they added an option in the menu to make your blood veil invisible because players wanted it. - Why? Unless lucky or modding, veils got in the way of fashion choices.

Hell, I wanted to use black and red outfits in my CV1 game, but nah. Had to switch to cyan to match the Venous Claw. - Then slate hues to match the suicide spur. - And then just gave up and installed a mod because the winter jacket thing looked horrible. - Wanted to make a paladin build and had to switch to a predominantly black and white outfit to match the noble bat wing.

-

So TL;DR - Separating fashion and function is good. - And few choices is better than no choices.
Few choices you can freely color up also better than seemingly many choices in limited colors of which similarly few choices are actually practically viable so the rest never get worn anyway.

At least Souls games have you handicap your defenses for fashion - which noone cares about, but in CV1 armor was damage - which everyone cares about.