The blur is always fun as that then looks just matrixy (as many others have said) the thing of it is that when you have it on, so many of the other animations are so hard to pick up, it's really not fun.
Plus, it puts some of the combat animations out of sync with sounds sometimes (when going into bullet-time) as your character still moves with the crazy hyper-speed legs and arms blurring thing but you get that bullet-time sound...
Yeah I dunno what would be best for it really, yet I think it's something that needs to be worked on.
Love,
Shadow x