Since I found this through a comment here a little while ago, it's become part of my regular toolset. Especially with TextMate, where it'll pick up the folder of the item you're working on. I can run an operation on that file / folder really quickly, without needing to mess up the terminal window(s) I typically keep handy. (I'm usually doing Ruby / Rails work with TextMate)
My only real desire (and I know there's a way to do it, I just haven't done it): a way to open a regular Terminal window from dterm. That'd get rid of my need for any "cdto"-like script. Something so I can use `term .` .
Word of warning to users: it's not a TTY. Sometimes this can cause unexpected behavior in a program meant to be run from the terminal, and it's not interactive at all. (I ran across this when my code forked right after printing - Terminal prints normally, this prints as if going to a file, so it printed after forking the buffer)