I am not surprised they themselves have developed an easier way to mix and match videos to help people create their own playlist.
My big surprise is that is has taken so long for something so obvious.
I wonder if someone at YouTube saw Ibizaah! and found inspiration to create this new side service from it.

I think YouTube Disco has done a great job to simplify playlist creation. You can do basically all the stuff you already can with Ibizaah! except for mixing videos and fading sound between players.
YouTube Disco has only one player which is fine to have music play continuously as well, maybe not as smoothly as with Ibizaah!’s AutoDJ feature which does an automatic crossfade between two videos smoothly.

At this moment it seems to only load playlists from the logged in user only unlike Ibizaah that allows users to load anyone’s playlist.
I’ll be playing around with it more to see if there is anything I could use in Ibizaah to make it even better.