This should be illegal, companies should be forced to open-source games (or at least provide the code to people who bought it) if they decide to discontinue it, so people can preserve it on their own.
The best visual example I can think of are experiments where YouTubers downloaded and reuploaded their own video 100 times
This has nothing to do with copying a file. YouTube re-encodes videos whenever they are uploaded.
A file DOES NOT DEGRADE when it is copied. That is something that happened to VHS and cassette tapes. It does not happen to digital files. You can even verify this by generating a hash of a file, copy it 10,000 times, and generate a new hash and they would be 100% identical.