Yes, that worked. Using another browser (Opera) let's me get into Youtube without those annoying and impossible to read CAPTCHA's.
Just a guess here, but it appears that my Blackberry browser is corrupted and the way to solve this is to delete/re-install the Blackberry browser. I noticed however, that the PC Blackberry software has the browser application greyed out so it won't allow its deletion.
I did a little research and I found something about deleting/re-installing the "service book". I did not do that yet. Nor have I done a factory reset on the phone. Any suggestions how to proceed from here? By the way, I have Blackberry OS V6.0. Much obliged on the Opera suggestion.