Very nice, useful. I find the scroll overflow on the screenshot display to be clunky and uncomfortable, though. I think I'd prefer a shrink-to-fit/click-to-expand situation. Also, I tried pasting a ~1mb JPG photo, and the spinner has been going for a few minutes now. Might wanna throw an error or something in weird edge cases.
Hey sunspeck, I've relaunched the app as MonkeyV. Play with it here: www.monkeyv.com. I've included the feature you requested that allows you to shrink to fit and click to expand on the image view page. Enjoy!