I'm having a similar issue. I plug it into the computer, the red light comes on, the computer recognizes it, assigns a com port, reports it is ftdi working correctly. I use Freestyler to do my testing and the message when I load is "Error creating output thread". This error typically happens if you have the wrong com port but I checked and it's the right one.
What should I try testing. It seems like the USB part is working. As an FYI, the board is labeled V2.0 Lynx Dongle.