I have used FRAPS unregistered for years (in that form, it limits your length and video size, but that keeps my file sizes from going totally out of control).
I ran a small military games forum for a while, and at one point I had to put the kibosh on someone who wanted to put his registered FRAPS up as a download link. "I paid for it, so I can give it away for free!" was his reasoning. Sometimes people just don't get it.
To share videos online, I use Microsoft's free Windows Media Encoder (there are plenty of others, but most video upload sites work fine with .wmv format stuff) to get them to a reasonable size (often it can get a 60MB Fraps movie down to maybe 5MB or so). It's surprisingly easy (fun even) to use, and you can adjust the .wmv video size, sound quality to get the size file/quality that you want. There's a newer version list there that's designed to work with Vista.MS Windows media encoderhttp://www.microsoft.com/windows/windowsmedia/forpros/encoder/default.mspx
I was using a video hosting site called Putfile.com for a while that I really liked. Recently though they started yanking my gameplay videos taken from Company of Heroes, City of Heroes and other PC games due to "copyright violations." I didn't really get that - I was trying to help publicize some of my favorite games.