The best thing about digg is how fast new stories make it to the front. The bad? Well, apart from today, there's always sensationalist headlines, innacurate headlines/descriptions, and just general pandering to the idiot masses.
So, what about a site like digg where users who had a better reputation had a vote that counted for more? It'd be like combining digging with Slashdot karma and comment moderation. Add to it an algorithm that doesn't call for 50 stories per second, and maybe you'd have something cool. Obviously it needs to be thought out a bit more, but it could work...maybe.