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Sure. As @diminoten mentions, legality is questionable here, so I do not recommend. If you do dabble, restrict access, and encrypt everything so that if you lose your keys, they only option is to destroy the stack and start over. Cloud provider of your choice Plex media server running on a high-throughput instance, with cloud storage mounted locally for reading. (Redundantly created in multiple regions depending on w…
$400/month and multiple cloud instances sounds like overkill though. The same could probably be achieved with a Raspberry Pi or Intel NUC on your home network. Maybe an RPi wouldn't be great for multiple reencodings, but I don't think that's really needed. How often do you really want to watch low resolution TV-series on your mobile data connection? One feature I haven't seen on any commercial service is the ability…
You can certainly get a similar thing working on a Raspi, but you'll likely notice buffering issues. Especially if you try to stream different content to different clients.