This is a step in the right direction, but YT's system is extra-judicial in nature, and they've decided to be more copyright holder friendly than the law itself requires (likely so the law isn't used, which is cheaper for YT).
I suspect in my lifetime governments will need to create better frameworks for content networks. The whole "they're a private company, they can do anything!" argument is growing weaker by the day as these companies have more influence in our lives (with both good (e.g. anti-hate content) and bad (e.g. copyright holders stepping on small creators) consequences).