Question / Help Worth increasing stream quality for subscribers?

Now that subscriptions have opened up on my channel (along with video quality settings) I'm wondering if it's worth increasing the quality of the stream as an incentive for subscribers. From my previous experience, before subscriptions, increasing the stream bitrate was considered a bad idea because my viewers wouldn't be able to change the stream quality setting on their device. Am I able to increase the stream bitrate now to something higher? If so, what are my limitations, or other things to keep in mind when I do?

Also, on a similar note, I've been wondering about my Youtube uploads, the processing seems to take longer than necessary and Youtube is always telling me that I need to upload videos in a streamable file format. As far as I know, I'm following all the directions that Youtube gives when it comes to the video file settings, but I still get this message

I've included screenshots of my streaming and recording settings for context
 

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