About the new Family Sharing

[ZoeGa]

If I share my library with friends that don't live with me, i'm gonna get banned?

[Spawn of Totoro]

No, but you may want to read up on the new restrictions that are in place as well as the cool downs for exiting the Family Group.

[Chika Ogiue]

The only type of ban you risk with Steam Families is VAC and Game Bans:

What if a family member is caught cheating or committing fraud while playing my shared games?

Your Steam Family privileges may be revoked and your account may also be VAC banned if a member of your Steam Family playing a game from you cheats or commits fraud. In addition, not all VAC protected games are shareable. We recommend you only invite trusted household members to your Steam Family. And, as always, never give your password to anyone.

And in line with that answer, if Valve decide that sharing between friends in the same country isn't allowed (and they manage to code a way of reliably detecting it), the worst that will likely happen is losing access to the Steam Family function.

[ZoeGa]

in this case, it's a great feature we got here

[Hollow_Bayker]

No The only reason to get banned from this feature comes from another participants of a family. If someone caught vac while was borrowing your key/lisence/game - your own account will be affected by it too

[JellyFox]

Is this still OK? From what I've seen it's still fine to make a steam family with my (very close) friends but it never hurts to double check

[Ogami]

Originally posted by JellyFox:

Is this still OK? From what I've seen it's still fine to make a steam family with my (very close) friends but it never hurts to double check

Its fine. As long as you can invite them and they can accept they are a legit member of your Steam Family.