@pos_yo @cobito
I can confirm it works with the following changes

1. obs from flatpak (instead from the distribution)
2. use software h.264 (instead of nvenc h.264)

You can change (2)
settings > output > Streaming > video encoder

Thank you for you help and support

UPDATE:
(1) is options, it also works with the distribution version of OBS.

@cobito same broken effect on firefox

does anyone else stream from linux/wayland?

1, my streaming setup is Steam window on linux/wayland - this gets the error (also I've checked streaming some editor window with closed Steam and also broken).
2, i'll also checked other machine, streaming editor window on linux/xorg and it works.

Also between (1) & (2) also OS is differrent.