Hello my dear friend!
Regarding your questions I think the following:
- To the first point, I think both options are great and important. In first place I put the quality content itself, and I think it's important to keep some support to the authors we already know they made good content. Because in many time, like myself, we stay without upvotes, because some guilds consider we need no more support, or because of our high reputation we should not receive any extra help, and because we're not newbies anymore need not to get upvotes...
In second place the support for these people we believe can make a good job, as you said to encourage them to keep creating content, since there are many authors they start doing a great work, but they loose the hopes of getting rewarded.
To the third topic I think it's up to everyone. I you decide to support (for example) just music, it's fine, because your contribution will be a big one and I think sometime it's important to set a big reward to the authors to awaken a deep interest in the competition, in making really awesome content. But distributing that reward among many also has its merit and benefits for the entire community.
If I were in your position I would directly support some authors and projects and since it's impossible to make a daily curation for such high level, I would look up for the work of some communities and follow their trails.
But there is a saying that says: "every head is a world".
I hope this reflection will help you.