Honestly, after four different models, I'm tired of constantly returning devices. I just want a reliable Kindle with no issues so I can read my freaking books.
I find the lighted case on the Kindle Touch to be a much more ideal lighting solution than the integrated light on the Paperwhite (for ME - I totally understand that others feel differently and are perfectly happy with their Paperwhites.) While the lighting isn't perfectly even, it is free of annoying color blobs and is much more akin to natural book lighting than the indiglo-esque light on the Paperwhite that washes out the text. I find it less distracting. Another subtle thing I like about the Touch vs the Paperwhite is that the text seems to sit right on the top of the screen, while the text on the PW seems further back, most likely from the extra layer required for the lighting. I'm sure that I will opt for a Paperwhite in the future, but at the moment the quality control leaves a lot to be desired.
Plus, with the new firmware update, the Touch is much closer to the overall Paperwhite experience (minus the light, obviously.)
Anyway, my $.02.