This is an understatement. Even if Github is just a place to put your toy library/project and it's not being promoted, there should be an awesome README showing off what it is meant to do (even if it doesn't do that yet, just point out that those features aren't yet available). When I find engineers on Github who've contributed to projects I enjoy using and I look through their repositories to find projects with interesting names but NO README, I get annoyed. I don't mind reading code, but sometimes I just want to see what this thing does before I go about reading 2 thousand lines of code.
The worst thing that could happen is that someone would want to start using your library while it's in an alpha state, and then complain that it's not perfect. But in the end, if people would really find something you're working on useful, you might get a lot of community support and motivation to finish it, so why not?
And as you state, when features are completed, there should be pages with ample examples on how to use them. Programmers can usually read a code example ten to a hundred times faster than they can read over the documentation for everything used in that example, and in well written code, the expected functionality (that is: documented behavior) is clear from an example alone. Programmers can also write a quick code example with a few inline comments faster and better than they can write good documentation.