Given what the US Congress has wanted to do to replace the DMCA, I think we're far better off with it. Youtube's systems could use some work to prevent these kinds of abuses, of course, but that's hardly news.
I think it's also important to note that, in spite of the problems the DMCA has, it's the law that allowed websites like Youtube to exist in the first place. Because of the DMCA, websites aren't required to proactively police user-generated content for copyright violations; websites are only liable if they refuse to take down copyright violations after the copyright holder points them out. Without the DMCA, business models like Youtube's simply couldn't exist, nor would pretty much every website that allows users to post content. (Such as this website, probably. For example.)
I think it's also important to note that, in spite of the problems the DMCA has, it's the law that allowed websites like Youtube to exist in the first place. Because of the DMCA, websites aren't required to proactively police user-generated content for copyright violations; websites are only liable if they refuse to take down copyright violations after the copyright holder points them out. Without the DMCA, business models like Youtube's simply couldn't exist, nor would pretty much every website that allows users to post content. (Such as this website, probably. For example.)
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DMCA takedowns have been a problem for years by now, I believe.
They need to go, at least in their current form.
This kind of censoring of opinions and destroying the living of hardworking video makers cannot go on. Especially if we want Youtube to be a source of more professional content.
This is likely a result of corporations holding too much power in the US, but that isn't certain and it's a topic for another time.