For short clips like this, I convert them to gifs. Recommend ezgif.com, which is a legit site -- lets you tweak pixel dimensions and frame rate to get under the 10mb that umd limits you to.
The discoloration happens fairly often with these, I'm not sure why. I'm sure it's fixable, just with video editing skills I don't have. I just throw them away, but I liked this one too much!