If you have Windows 10 you could try using the Ubuntu that comes in WSL, which is much easier to set up and probably ends up being smaller.
All that being said, yes, we stream from residential internet just like most amateur internet radio broadcasters. But we don't run our ice cast server on the same computer that we use for streaming. Our Liquidsoap installation is running on a dedicated Linux server hosted by OVH which handles the ice cast as well as the website and a lot of other things. LiquidSoap is running on there 24-7, continuously playing archives and if it detects one of us connecting to a specific address, it switches to rebroadcasting that. If you wanted to do the same thing from your Home Windows computer, it would have to run 24 hours a day if you don't want your stream interrupted and you'd need a really decent upload to support multiple listeners.
If you're planning to stream to a remote iceCast server, if you can administrate it yourself install Liquidsoap on it or ask whoever owns it to do it for you. Otherwise, consider doing that yourself or even geet something like a raspberry pi and run your icecast and liquid soap off of it.
The twins of Mammon quarrelled. Their warring plunged the world into a new darkness, and the beast abhorred the darkness. So it began to move swiftly, and grew more powerful, and went forth and multiplied. And the beasts brought fire and light to the darkness. - from The Book of Mozilla, 15:1