I was always an advocate for physical. But it turns out, it doesn't matter if the game is in physical or digital form. What matters is the DRM and how much control the publisher has over your games.
For instance, a GoG digital copy of any game doesn't have DRM and the publisher doesn't have any control over it if you don't want to. You can back it up easily and play if offline with no mandatory updates. In that sense, this is even better than physical because you can back it up in multiple locations so it will never get lost. While physical stuff can deteriorate over time.
The issue with "digital" is about the digital distribution/marketplace/platforms mostly. These platforms give a lot of control to publishers over your games. DRM is the biggest issue. But updates can sometimes screw you over, like how some songs from various GTA games were removed in later updates. Or how the ending was changed in Portal and there is no way to see the original one, unless you play an older pirated version.
I don't like others having control over my stuff. I want to be able to backup and be able to play older versions if i want to. Or play offline. Or play on any PC i want, with no restrictions.
Streaming is going to make matters even worse. At least now you do have the game files in your computer/console. Worst case scenario, if DRM makes you lose access to your game you can crack it. But with streaming you won't be able to do that anymore. You won't even be able to have a stable game collection, who says some developer won't remove some older games from their servers to force you buy their newer stuff? Streaming is a nightmarish scenario for gaming IMO.
