Alicia of the Curious Pug recently started using Disqus on her blog for comments and it looks pretty impressive. I thought I should give it a try as well because I've been really unsatisfied with the way Blogger handles comments.
Now, you can respond to other comments directly and even receive notifications of when someone has replied to your comment through email. Although, I do think you need to have a Disqus account in order for that to work (don't worry it's free and easy).
I also chose the time stamps on comments to be relative instead of absolute. With people living in so many different time zones it's difficult to see when someone left a comment, even though Blogger gives a time it doesn't give a date and if you live in a different timezone that absolute time can be pretty useless. Now, my comments will say how many minutes, hours or days ago the comment was posted. Just like on facebook.
I also love to see pictures next to comments, so I like that you can log in using your facebook, twitter, yahoo or open ID and it will automatically show your chosen avatar. And if you don't you'll get my default monkey avatar, but this function keeps turning off and on though, it's a bit frustrating because I don't like the default gray head.
So far this Disqus looks promising :).