SEO WILL ROCK AGAIN WITH HIGH QUALITY BACKLINKS. See this link http://searchengineland.com/google-launches-disavow-links-tool-136826
This is a brilliant tool. My first thought was that they will change the algorithm, and make it, instead of penalizing you for getting non-related backlinks to ignore those backlinks and don't get penalized. But with this tool they can continue their purpose for making the web cleaner. I mean in this way they should be able to stop 2 major things: 1. Spamming blogs/forums; 2. Remove the ones who are using this methods. The main problem that will remain will be the fact that this can be a big exploit and headache for webmasters/competitors: For example if you have a competitor and you want to do harm to him, you just need to do some black hat back link building for him (non-related links) so he will eventually get penalized (exploit) and he will need to ask all the webmasters to remove his links from their website (headache).
I don't know much about the tool but i heard that it is a awesome tool.Cutts,the head of Google’s web spam team, warned that the tool should be used with caution. He also warned that publishers should first try to remove links they are concerned about pointing at them by first working with site owners hosting links or with companies they may have purchased links through.
Google launched it will allow you to Disavow links, or in simple words, it lets you tell Google to nofollow the backlinks from the bad or spammy domains. This protects you from getting lower rankings in Google.
This is a tool for suckers. Google knows what are bad links and could easily discount them. They want idiots to self-report paid and other links.