Anyone have any more info on this? I have an idea for a similar service with a bit of a twist, but I've been put of as I thought this type of thing was against

Anyone have any more info on this? I have an idea for a similar service with a bit of a twist, but I've been put of as I thought this type of thing was against youtube TOS. Also, I've queued up and played a few tracks, but not seen any youtube adverts, have I just been lucky or is there some way of removing them?