Ask a tuner what engine is better --> Gen 1 or Gen 2. I think most tuners say that the gen 1 engine is more easy to tune. I have read some where that the second gen crank is weaker butt i don't know where i did read it.
You say that you do it for cosmetic reasons?? the only things you see that are different are the oil cooler and the crankcase covers.
You can use the second gen engine with the first gen carbs.