maurizio219 - When I experienced the looping issue, my stream cam was connected directly to the usb-c thunderbolt port on the M1 Mac mini using the USB-C cable that's permanently attached to the camera.
Someone at Logitech suggested I try connecting to a USB-A port using an adapter, which is how it is connected now using this adapter.
Someone else at Logitech also suggested that I use their G Hub software (not M1 native) to adjust the camera's settings. Their normal tool for stream cam is Logi Capture, which crashes on my Mac mini when I try to run it. This is a known issue on M1 macs. Earlier I tried LogiTune, which worked but only has a few basic camera controls.
I've been using the usb-a port with G Hub now for about 4 days using the camera a couple times a day and I haven't seen the looping issue again. The problem was intermittent and not easy to reproduce, so I can't say it's gone, but so far I haven't seen it.