When instances federate, you still technically watch the video from it's original instance + the seeders. If the original video is deleted, it will also be removed from federated instances.
Also consider redundancy. Federating instances can use redundancy to improve the viewer experience, by having multiple seeds around the globe.
I'm guessing federation is such a new thing to most people, that it will take a while before most content creators can understand it and possibly embrace it.
It's like DRM-free tracks took ages to arrive on digital music sales, but now lots of independent musicians sell music DRM-free, and even big players like Apple and Amazon offer it.
This is a brand new server run by the main developers of the project as a spin-off of mastodon.social It is not focused on any particular niche interest - everyone is welcome as long as you follow our code of conduct!