This is a topic near and dear to my heart, as I also have an extensive VHS collection which I'm not sure what I'll do with. I spent close to ten years working as a video dubber/video master control op for campus. I had all kinds of equipment at my disposal, and dubbed things for myself quite a bit.
First off, don't throw the baby out with the bathwater! Yes - VHS quality leaves much to be desired, especially if you want the audio - audio quality can have terrible hiss (a la audio cassettes) and if you don't monitor your VHS-to-digital transfer properly, the tracking can interfere with the audio (I'm sure you've seen youtube videos that exhibit this). That being said - the new medium technology is designed so that you can record it - but you can't keep it! DVRs are meant to be watched in your home, you can't take the 'tape' to a friend's house to watch, for example. You also can't copy it without using the analog outputs (i.e. you go down to a 2nd generation recording). VHS tapes, while lacking in certain departments, are at least YOURS to do with as you please.
Much like your vintage drums as a kid - you didn't want you grandfather's drums, you wanted that brand new Tama with the 'square toms' or similar - I have a feeling a younger generation will start mining the analog world for content - remember, it's not the medium, it's the MESSAGE! The content on your tapes should be the discerning factor on what you do with them, don't be a technocrat and think that 'legacy' equals 'worthless'.
(This is a pet peeve of mine, as many tech experts on campus cannot see past the media and de-value content which basically can never be replaced!)
Last bit of advice - if you are storing your VHS tapes, whatever you do, don't store them 'reels down', or stacked, if you follow me. Store them by setting them on the cassette's edge, bookshelf style. The way magnetic videotape is organized, the video takes up most of the tape, while the audio runs along the bottom with the sync information. If you store your VHS tapes stacked for a long (LONG) period of time, GRAVITY can pull the audio and/or sync information out of alignment, rendering your tapes unplayable!
As an aside, there is a magazine I highly recommend called TapeOp Magazine - subscriptions are free! For all those audio eng types out there who think everything is done in ProTools, this magazine will restore your faith in creative recording processes. You'd be surprised what people are pulling out of major recording facility trash cans, to take back to use in their own home studios.