Well that's possible by downloading and installing ManyCam (available for Windows and Mac, Cheese might work for Linux). In this program it is possible to make your desktop available as a camera and selecting it in my website by:
1) Go to the broadcasting screen
2) Right click on the flash layer and click settings
3) Go to the camera menu and select the camera mimicked by Manycam
4) Start streaming
I tested it and with the qualities I made available it was unwatchable so I updated the application (version 0.6.1 !!) to allow the following options:
Quality: 30KB/s, 40KB/s, 60KB/s, Max
Resolution: 320x240, 640x480, 1280x960
Frame-rate: 8fps, 12 fps, 16fps, 24fps
I have been broadcasting a porn movie now at Max, 640x320, 8fps and it is very watchable at my other computer on the same network. I would appreciate hearing your feedback.
I also added automatic re-login AND channel join on unexpected connection loss. Finally it is now possible to autojoin a channel and autologin by going to the website with the following url:
www.cam4btc.com?name=NAME_channel=CHANNEL (note _ instead of & as they weren't coming through to my flex application somehow).
Enjoy