I must admit that hypertext lit (or hyperfic) does tend to be the hifalutin’ sort of stuff that impresses but bores me. Many of the works I’ve seen reek too much of the message, “We’re trying to do something really really different, dammit! Admire us!” I have enjoyed stuff by noted hyperfic author Rob Wittig, he of the infamous Fall of the Site of Marsha (depicting a woman’s fluffy “angel” homepage that every few months appears to be hacked by demons, driving her into hysterical fear) and Friday’s Big Meeting, an immensely fun tale about a romance within a web design company, told via faux internal chatroom transcripts.
As far as current hypertext works out there … Hunter Hawk linked to what’s probably the most successful hypertext publisher, Eastgate, which offers a “Reading Room” that’s basically an online magazine, spotlighting hypertext stories by various authors. That might be a good way to get your feet wet in the genre. Also, their newsletter, HypertextNOW, has some essays on the world o’ hypertext that could be edifying.
A larger collection of online fiction/nonfiction can be found at ELiterature.org, with categories devoted to hyperfic, interactive gaming, short stories, enovels, and more.
For people who enjoy less artsy/experimental stuff alongside the hifalutin’ (yours truly raises her hand), there’s a middle ground between craptastic fanfic and high literature. That’d be the world of online series, many of which publish text-based episodes with semi hyperfic-like elements such as scenes containing deeper links to character profiles, diaries, setting descriptions/maps, and so on. There are many lousy, poorly written days of our lives-type websoaps, but good web series – even good websoaps – can be found as well. If you’re interested in checking out the genre, you can go to Open Directory’s Internet Series Stories/Internet Soaps category and snoop around, or click this directory devoted to the form.
Erm, full disclosure: the second link is a directory site I created. Also, I’ve produced an online series since '97 (God help me). Don’t worry, I’m not gonna hype it.