Why do videos need to be hosted "on Nostr" (which they can't, because that's now how Nostr relays work)?

Nostr isn't the only protocol for decentralization, it isn't the whole Internet and it isn't the right tool for everything.

In fact, even for its main purpose (microblogging) it has shortcomings.

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On the latest nostr:nprofile1qqs879mhq6kkuzh2wk57xdzanl76uem8d7hlyjd7v4a4jcm4u88d8ygprpmhxue69uhhqun9d45h2mfwwpexjmtpdshxuet5qyvhwumn8ghj7um9dejxjapwdehhxenvv9ex2tnrdaksucy6xj , nostr:nprofile1qqsqfjg4mth7uwp307nng3z2em3ep2pxnljczzezg8j7dhf58ha7ejgpr9mhxue69uhhxetwv35hgtnwdaekvmrpwfjjucm0d5q3samnwvaz7tmswfjk66t4d5h8qunfd4skctnwv46qu7vtcc talked about blossom. https://github.com/hzrd149/blossom Perhaps hosting on Nostr is not the right way to describe what blossom is about. In any event, seems like a good decentralized solution for video content.

the video above is a blossom video by the way

it is hashed and signed, so it is easy to mirror it and verify it hasnt been changed

Yet the post only contains the corresponding standard HTTPS address.

that's a result of how your nostr client handles blossom protocol. if a npub changes their primary blossom server, the client may render a different link to the same media on the specified primary server (and it would be verified to be the same media)

The raw JSON data just contains a plain HTTPS URL to the MP4 file with no special tag.

Blossom content should be marked in some way.

No, it's not indeed, they are different protocols.