There are 2 aspects for youtube integration we discussed.
1 - Embed Youtube Video
This is already possible in buddypress-core. Anytime you paste youtube link, it renders as video-player thanks to oEmbed.
2 - Download-from/Upload-to Youtube
This was discussed but discarded.
There are legal concerns about downloading from youtube. Ref: http://www.pcadvisor.co.uk/how-to/internet/3420353/is-it-legal-download-youtube-videos/
Youtube has API for uploading but then Kaltura and FFMPEG are far more flexible in that case. Also YouTube terms of service is a concern for many users.
Considering all this we are closing this feature request as "rejected".
If we have missed any point or a use case, feel free to bring it to our notice. We will surely reconsider this feature request if there is nice reason/use-case for it.