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May be off topic, but did Apple remove their restriction on using a VM in an app put on the App Store? Or was that restriction only for JITs and not interpreters?

That was about JIT, i.e. generating native code.

Also about interpreters, at least on iOS side, and they have relaxed that slightly, though interpreters are still banned from running downloaded code

I just downloaded their beta version. Here's a direct link if you don't want to subscribe to their email: http://creolabs.com/creo_beta_download

I'm interesed also, in how it compares to Corona. Corona uses uses Lua (which seems similar to/inspirational for Gravity).