Gecko Tube will allow users to easily embed YouTube videos using the URL of the video in the same manner as on WordPress.com. As a bonus, a link to the video is included in the RSS feed for feed readers that disallow embedded content. Based on the easytube pluin.
Visit the Gecko Tube plugin homepage to see the plugin in action.
If a request is made in the comments to add support for specific video websites, I will gladly look into providing enhancements.
Free Download: Download this wp-plugin