If the compression is lossless then it is perfectly fine as long as you decompress before playing if done through 7zip/winrar etc.. If the compression involves scrubbing unused parts from the iso then it can cause minor problems, but shouldn't in most cases.
OS: Windows 10 64 bit Professional
CPU: AMD Ryzen 5900X
RAM: 16GB
GPU: Radeon Vega 56
CPU: AMD Ryzen 5900X
RAM: 16GB
GPU: Radeon Vega 56
