Currently, it is hopelessly impractical for streamers to do what they do best, entertain with back ground music filling the silence between moments when they game or interact, while the danger of blanket copyright strikes resulting in forced stream and VOD censoring exists. If twitch wants this to work effectively, they have to fight for it. This could mean hiring legal experts, and/or lobbyists to work to implement something similar to the Fair Use Act under US law in the long term, but in the mean time I've prepared a suggestion or two that should help the situation if implemented.

Currently, the way the copyright issue works prevents any use whatsoever of music or content whose copyright is owned by someone else, and its use is often contested by automation, not by direct interaction, this is inadequate for protecting livestreamers, as it often results in mass automated over-reactions of the algorithms which twitch and copyright owners rely on to police the use of their content, as these algorithms are not fully capable of analyzing the contextual elements of each individual instance of alleged copyright infringement, simply put, the algorithms not smart enough, and it never can be, because its not a person.

Here is how you solve this problem. The automated system of copyright claiming must be removed and replaced with good old fashioned manpower, forcing copyright owners to MANUALLY issue copyright complaints which must be MANUALLY reviewed by twitch staff/moderators, in order to do away with algorithm censoring. This would mean hiring/tasking staff who can objectively and contextually review streamer content on a ticket by ticket basis to determine whether or not the copyrighted content is being used by the streamer in a manner, that fits the exact legal terminology of copyright law.

An expedient and effective means of contesting copyright claims must also be implemented for streamers to make use of. While copyright owners may lose money in the meantime, assuming their claims of infringement are well founded, streamers and smaller content creators often cannot afford the required downtime needed to contest or appeal a claim of this nature through the currently available methods.

Twitch is a service provider, as such, twitch should be the first one to go to bat for people making use of their service, it shouldn't be censoring their content first and asking questions of context later, this may be more expedient on twitch's end, but it can be the difference between success and failure in the streaming world on a content creator's end. Put simply, twitch has resources, most streamers don't, so don't pass the buck, step up, and do the work, so streamers can keep making you money.

This particular issue is not something that can be automated, not in the complaint filing, or processing aspects, without severely hampering streamers ability to create content. To fix this problem, you must put butts in the seats, and do the work the hard way. It will be thankless, and god awfully difficult, but your community will love you for it.

I feel like this should have been a given from the start, but apparently not.

WHEN YOU SEND OUT THE INFRINGEMENT NOTIFICATIONS TWITCH, PROVIDE MORE DETAILS ABOUT THE INFRINGEMENT.

Don't just give us "information about the allegedly infringed work, who the claimant is, how the claimant can be contacted, and possible penalties under our repeat infringer policy", give us NOT ONLY names and links to affected clips and VODs, but also TIMESTAMPS FOR EACH INFRINGEMENT.

This information would provide users with a better ability to not only find the content that was allegedly infringed upon, but would allow users to dispute incorrect claims more efficiently because we all know that robots, while correct some portion of the time, are not perfect, and people will take advantage of any inconsistencies they can find within the system to create false claims for streamers they may not like.