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Wasn't MegaUpload popularity due to streaming video content?

Doesn't the encryption make video streaming impossible in the way it was being done before (i.e. to a large psudononymous userbase)?

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Yes, megavideo was a large part of their platform. I think it is only a matter of time before we see them build a video player on top of mega. I suspect there are technical hurdles to over come with decrypting and then playing the video using javascript though.

The MediaSource APIs will make this possible

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