Looks nice! I will definitely give it a shot.
A feature that would go along way... be able to change
the mouse pointer type or to smoothen the cursor's movement. Most screen recorders that bank of explainer videos have this feature because it makes the video look that much more professional.
We don't have cursor movement access in the browser for the shared screens; it needs an extension for this to work. do you think it worth making an extension for this tool?
I do think its worth it but it might defeat the simplicity of your idea! Perhap youd find a way to bypass the smoothing of the cursor with a an optional overlap animation? Quite an intersting problem to resolve nonetheless
Good luck!