This looks great! I'm going to give it a try.

Edit: 30-second overview: I enabled automatic updates and sent in the requested anonymous system profile--but both are strictly optional. The default hot-key selection is excellent (Shift+Command+Enter). The set of preferences is small, but useful: font, hide dock icon, hot-key choice and behavior (open/close). The Accessibility pane asks you to mark DTerm as "Trusted" in order to correctly present its window in apps other than Finder. I didn't even realize that it was running again until I tentatively tried the hot-key. It works, it's small, fast, and it works invisibly. Very nice, kudos!

Personally, I'd love to see support for Ctrl+r from BASH. Also, I wonder if there could be some way to use URLs from browsers.