Nginx is one of those rare products where I felt no need to upgrade from the now-ancient 0.7.6 version because it just does everything I need well. Truly an amazing little piece of code, on par (in my books) with venerable oldies like qmail.
[1] http://forum.nginx.org/read.php?27,215419,215419#msg-215419
There are also a ton of bug fixes related to CPU hogging and caching that makes it worth upgrading, especially considering how painless it is.
http://cve.mitre.org/cgi-bin/cvename.cgi?name=CVE-2009-2629
Not sure if this poses any real danger in practice, but still -- better be safe than sorry.