This WeGame recorder shows promise !

Positives

It's free, and that's the full version that's free !

You don't have to dramatically lower graphics settings to record !

Most people when game recording have to to lower their video settings considerably to record
What is good about this recorder is the hit on FPS is much less, so you can still have higher settings and record !
I set Crysis to a video level where I was getting 68-75 FPS without recording
When recording with fraps I got 34-38 FPS (50% drop in FPS)
When recording with WeGame I got 55-60 FPS (20% drop in FPS)
The WeGame's videos quality is noticably less than fraps when playing the recorded AVIs in full screen
However when uploaded to WeGame or YouTube, the difference would be negliable because both sites compress for streaming anyway
In the trade off between recording quality & FPS loss, the WeGame recorder is just right, I reckon

The recorder is optimised for the WeGame website

It's easy to upload direct from the recorder if you want and the WeGame recordings are optimised for the WeGame website player

Negatives

There are some computer configurations where the recorder just crashes

It's in beta right now, so hopefully further releases will solve this problem

There are known issues particularly with sound

It's in beta right now, so hopefully further releases will solve this problem

Not all games are supported

The developers are adding to the list of games the recorder supports

Summary

As the recording drop on FPS is 20% instead of fraps at 50%, I would say this recorder has promise
Hopefully the stability and sound issues will be sorted out in the next month or two by a new release
As it's free, I would say try it now and test it out for yourself