I guess it's probably similar to the AMD's version that they just launched, whereby the say you should already be hitting 60FPS before enabling frame generation.
I've noticed that in Cyberpunk running say psycho RTX preset and tossing DLSS + Frame Gen on top will pull the FPS up but the latency is insane to the point where it feels like ~30FPS anyways. My current mix of settings (mostly high, but ultra RT) gets me around 60FPS, then adding DLSS Quality + Frame Gen on top pulls me up to 90-100FPS. Makes it feel a lot smoother and I would say keeps the minimum FPS higher too. Latency doesn't seem noticeable, but I'm sure it exists.
In competitive games, I can understand not using it at all. You'd simply want to dial down the graphic settings.