Like 'jdc987' I now have cropped photos of DW & myself that I now use for the check-in process after experiencing the same issues you had. I feel your pain!
I think that adding the photo to the check-in process is being driven by an old COVID-related regulation or some other government entity. It's not something NCL is doing on their own.
I was reading somewhere that one of the cruise lines (RCCL, maybe??) was planning on doing something similar to expedite the pier-based check-in process. The plan was that you check-in online or via an app, upload a photo, scan your passport, give your credit card info, etc. When you arrive at the pier on sailing day you'd just identify yourself & they hand you your key card. Sounds great...in theory. Maybe someone else can confirm this?