If by shot down you mean that the original thread got trolled and spammed to death by some scrubs, yes, but the project is even more active now. We are currently organizing. The IRC channel is up, we found a host, and we are working on designing the website along with the the forums. As for actual development, my gecko is in the mail, and I think other people are also getting one. Some people already have one and have been exploring and ended up with some hilarious results:
(from the usb gecko forums). It will probably take more time for more interesting results.
Ironically, people who have used it say the desync it causes makes it unusable for most online cheats. This was also mentioned in the original thread here, yet people continued to flame and spam away.