I've been on it since the first day they would let me, and I couldn't be a larger fan. I know how vulnerable I would be if I lost control of my email account, and it's scary. I don't trust the recovery options with google because they're useless if someone gets your password and changes it.
I lost my phone skiing, used an application to find it, and realized someone else had the phone already. Without two factor authentication I would have had to change my gmail password, update it everywhere, and type the wrong password in for the next 2 weeks. Revoking the application was simple and made me feel better about the situation. This was huge for me.
I would recommend everyone who keeps a fancy phone with them nearly 24/7 to enable 2 factor authentication.
What it's like to use:
-Once every 30 days I have to put the code in.
-I keep a paper copy of the 10 backup codes on me. I've had to use 2 of these for when my phone was dead or lost and I was logging on to a new browser.
-I've also emailed these codes to an account that is totally unaffiliated and has no link to my google account.
-I have about 3 other applications I had to set up the application passwords for. This was less painful than I expected.
The real risk is when you're in a worst case scenario - without your wallet, without your phone, and every online email you have is compromised.
Even if someone does manage to get through the 2 factor authentication, there's a pretty good chance they won't disable it or clear out the emergency codes.