Dropcam v1.0 eliminated all of those security problems.
The only gotcha is that we required cloud storage. However, my plan for v2.0 Dropcam was to go with open-source verified builds + kill the cloud-storage requirement (but offer it optionally with e2e crypto).
If I had required that at v1, the company wouldn't exist today, and worse stuff would have taken its place. Good product engineering requires prioritization and stepwise problem-solving, not ivory tower ethics.