It's been plenty useful already for throwing together tiny clips that I'd need to transcode into small resolutions for sharing with friends anyway.

It's essentially set up to make tiny very shareable files that discord and any other chat apps won't have trouble with. You can even share them directly in steam chat. In that context it makes sense for it to fit larger resolutions and aspect ratios into a smaller maximum.

It would be nice with some additional options, but it's quite convenient already. I've just left the background recording enabled all the time.

If they add increased resolutions, and bitrates to match, I would still want the option to export into clips at low res for sharing. Until now I've had to handbrake my OBS recordings to something I can actually send over to friends.

ATM I'm still firing up OBS for full quality recording, but steam recording has been extremely neat for sharing smaller more spontaneous moments.