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What Desktop Client are you Using?
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Big Buck Bunny direct plays. It's a .mp4 container and h264, so that likely has to do with it. My understanding was most people would be using h265 mkv files for content that's 1080p or higher. It plays fine on Google Chrome and Edge, but not Firefox, so I'm a bit confused how people can be using Firefox and not have transcoding, unless they avoid h265 and mkv.
I would bet that if you remux BBB to an mkv and play that through JF, it won't transcode
I think it will just remux it back to mp4. Just a guess...