Create a blank text file (called mine passwd.txt)
Place the text file somewhere in the elog directory structure
(I placed mine in c:\elog\passwd.txt because i wanted to use it globally 
for all logbooks.  I believe this forum places it in \elog\logbooks\forum 
directory).

For the Elogd.cfg:

[Forum]
; general options
Password file = c:\elog\passwd.txt
Admin user = user1
Self register = 1
Theme = default

or

[global]
logbook tabs = 1
tab cellpadding = 2
SMTP host = smtp.host.net
URL = http://myelog
Password file = c:\elog\passwd.txt
Admin user = user1
Self register = 1


For the first time logging in, Click Login from the Forum Pages, then at 
the login screen, click Register as New User
Fill out all the appropriate information
example:

Login name: user1 (seems to be case sensative)
Full name: First User
Email:  user1@email.net
Automatic email notification:  (box checked)
Password:  password (seems to be case sensative)
Retype password:  password (seems to be case sensative)

Then click Save

If you open up the passwd.txt file you should see something like:

user1:cGFzc3dvcmQ=:First User:user1@email.net:all

Some other examples based on what info you provided during the 
registration:

user1::First User:user1@email.net:all   (password left blank)
user1:cGFzc3dvcmQ=:First User:user1@email.net (NO Auto email Notify)
user1::First User::all (password and email address left blank)

If you leave the Full Name blank then the logged in user will not be 
reflected correctly in the logbook.

Hope this helps.

Eric