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and a Plex server on top of that

Look into Jellyfin, it's completely FOSS as opposed to Plex, which has a little more complex business situationship

The reason I’m considering this is that, as I understand it, if one of the four hard drives in a NAS fails, I could simply buy an identical replacement drive without any issues.

Generally yes if the drives are formatted as RAID or as ZFS. The later one being my personal favorite

I’ve also thought about compressing my photos and uploading them to various sites (Terabox, Drive, MediaFire, Mega, etc.), but obviously, you never know where that data might end up.

Privacy wise this is fine if you upload encryped zip files. But I'd recommend against compression. You're going to regret compression in 10 years.

The goal is to avoid losing my photos; we have a lot of pictures and videos of the kids

Look into Immich. It's a server software which also gives a nice viewing and browsing experience

My fear is that a hard drive failure in one of our computers could cause us to lose everything.

Look into the "3-2-1" system. Having one backup is important, having a second backup offsite is even better.

Thanks for the recommendations; I'll take a calm look at that tonight.

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