Here's a workaround. It ain't great.
Go to a thread with an embedded video. Push the home button to return to the icons. Double-click the home button to bring up the running apps. Safari should be first. Close safari (swipe up in ios7). Return to home screen. Click safari and the page you were on opens and the embedded vids work. You can get good at it but it does suck.
One the upside, it's much easier to fap to WYHI threads using an iPad.