I'm trying to play through the implications of some software I've been thinking about maybe designing.
It's legal to make a digital copy of the media that you own (videos, audio) physical copies of. It's legal to give a physical copy of your media to someone else or loan it out, which transfers your viewing license while they have It. Then it should also be legal to let someone else use a digital copy of your media given that you don't also use it at the same time. So as long as you keep track of your license, you should be able to let exactly one person stream some media you own.
If someone else then "steals" that content and views it without a license then that has to be legally on them, otherwise streaming platforms would be liable whenever someone cracks some DRM.
So then, it should be completely legal to set up a local community media library streaming service where you can share content you own licenses to as long as you track your license count and don't let more people stream at any given time than there are licenses available.
Is there something obvious I'm missing (aside from the MPAA and RIAA don't care about the law and will just sue anyone they can just to make an example)?