A 4 min 1080p30fps video taken with my phone camera is 518MB, While a 12 min 1080p30fps video ripped from youtube is 341MB, both are using mp4 h.264 as codec and the youtube one isnt of lower quality, so why this big difference?

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Compression. YouTube videos usually have low bitrate too.

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Well yes, they have a lower bitrate, but why same quality as a bigger bitrate video? Same resolution, codec, frame rate…

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If you do multiple passes you can alleviate some of the downsides of low bitrates. You can always easily spot it in dark areas. I despise watching space movies or shows on streaming services because of the resulting excessive banding artifacts.

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