Using your example, a firearms video stream could stream videos through Cloudflare Stream and sell ads themselves or partner with an ad network that was willing to sell them to an audience that cared about firearms. I totally agree that the one-size-fits-all solution of Facebook or YouTube reverts to the lowest common denominator and, in doing so, will inherently not be right for every publisher.
The reality is of course somewhere in the middle, and there's some content which some advertisers would not want to be associated with, while others might actually want to target, and the current algorithm may not be serving these needs well. Hopefully it's just a matter of a better system being needed that might come later.
Interestingly, which topic was covered recently in Mozilla's IRL podcast[1].
Whatever algorithm YT changed a few months ago is really putting a hurt on content creators for little gain. If certain advertisers don't want to be on channels with certain keywords they should be able to configure that, but wholesale demonetization is really stupid.
Yes, that's it!
I know many YT firearms channels that have been basically blacklisted from monetization in recent months because YT classifies anything they do as "unsuitable for ads". It has forced a lot to double publish to https://www.full30.com/ to monetize their work.