I really think the graffiti-setup loop issue is related to permissions, maybe having to do with the sql database. I've still never had this problem and in fact just tested it with the latest code. You should have run at least three sql scripts on your
sql database before it can work at all.
For SQL 2005 or 2008, Graffiti_SQL_Scheme.sql, Graffiti_SQL_Data.sql and SQL_IntegratedSecurity.sql. The guide you referred to doesnt include those and in fact I think we may have overlooked those steps in our documentation all together. Just look at the
read_me.txt included with either the source code or the beta release for info on what scripts to use, but the 3 I mentioned should be the ones you need. (I'll try to update the documentation with the db setup steps from the read me shortly.)
As for the Graffiti.Web is unavalible issue, its just the nature of sharing IIS project files. Sometimes an absolute path gets stuck in one of the project or solution files and you just have to tweak it. I dont think the newest code is going to fix the graffiti-setup
problems you're having.
Madchen - The Telligent.Glow error probably means you didnt place the two Telligent dlls in the bin folder. They dont come pre-installed with the source. You have to download them separately. They do come included with the beta release.