Here's the full policy:
What are the guidelines?
Product videos
Links to product videos are allowed as long as you follow these guidelines:
You must be the owner of the underlying rights, including intellectual property rights, or be authorized to distribute it by the owners of such rights
The video is specific to the product being sold, such as a product review, demonstration or installation video
The video included in the listing must be either:
An embedded video that uses HTML5 video while complying with eBay's active content requirements, or
An external link directly to a video hosted on one of the following sites:
YouTube
Vimeo
Brightcove
Ustream
Screencast.com
Kizoa
DailyMotion
The video does not violate any eBay policy. Violations include videos that contain:
Contact information, such as email addresses, phone numbers, or social media links
Web addresses
Adult content
Links to prohibited items
Payment services that are not accepted by eBay
Malware or viruses
Malicious scripts that redirect outside of eBay
(So I should probably revise my statement, you can have an embedded video if you know how to set up the HTML5 they are talking about. ...but I think for a YouTube video, a link is the easier choice.
