V3 motion blur / pixelation (updated post, also with video)

I am updating my post because I found a solution for the audio issue (I will add padding to the camera housing). The pixels / motion blur issue is still there, though. Updated post below, I also added a video.

Hello, I am new here but have been using v2s to monitor my nestboxes for a while now. I thought I might do an upgrade to see what I can improve and got myself a v3. I am impressed with the image quality, also in darker settings, and detection works fine. However, there is an awful lot of pixelation going on whenever anything is moving. This is of course not really optimal for nestbox monitoring. I like the siren function (House sparrows might think twice if they heard it once), and the near IR that the v3 camera comes with.

Here is a link to a video (I removed the audio, and yes this is a House Sparrow and he will not be allowed to nest): Wyze 3 - pixelation on Vimeo
I have tried to find discussions and information about this but there does not seem to be an awful lot. I read that it might be a compression issue - if so, would this be something Wyze would be able to address at some point? The WiFi is fine in the spot and the FW is up to date.
Thanks for reading.

I guess nobody has thoughts about this. Are all your videos looking ok? Have I got a bad camera?