Only remotely. It always tries its best to direct play locally assuming the client can handle it.
Most of what you are asking is in here.
Regardless of the above the beta transcoder engine will happily transcode 4 x 4K Remuxes down to 2Mbps with little effect on my KabyLake using QuickSync.
But the fact that it can doesn’t mean I would (currently at least) set up my system to share 4K with people who cannot take advantage of it.
