You may be right about the choice to delete the videos or not, but that would be kind of... boring? Doing that ending just to please overly sensitive players sounds like flushing a cliffhanger down the toilet.
To be honest, I don't remember the information about Edwin watching these videos for over a decade. I myself am curious at what age Edwin started to withdraw into himself in high school and if it has anything to do with what Victoria did in the past. Before or after.
The video stops being blurry probably because Edwin is approaching the stage where reality will come into contact with his beliefs. As for watching the videos, he has justified it more than once by saying that he doesn't want to look down on other people, because his mother did the same thing. At the end of the episode, before deciding whether to delete the videos or not, he wondered what prompted Vicky to confess to the past and this video popped up in his head