Thoul wrote:... I may have misunderstood something, but it seems that the channel making the video can't profit from these videos if Nintendo flags them. If that's the case, people have less incentive to continue producing these videos.
That is indeed the case of the matter. Kinda the point I was trying to throw out there. Either way the person who makes/uploads the videos is unable to ever receive a profit, Sega's removals or Nintendo's through ownership rights confiscation.
I'm tempted to make a YouTube account just to do a Nintendo game review video where I only show still imagery of the game in question just to make an example of this issue. Not that I'm opossed to this entirely, because there are plenty of videos consisting of purely and almost entiurely gameplay footage that I can perfectly well understand Nintendo laying claim to.