Well I'm a Grafpup user, and I've been wanting to be more invovled in the development of it, but just never really got around to it. Now I'm working on my own distro of Puppy, Pupbeatz, which I hope to have released maybe in February if everything goes right. I'm moving into a new place in January, which was originally when I wanted to get Pupbeatz 2008.1 done by.
Nathan hasn't updated the site in what seems like ages now. I hope everything is ok. Anyway, I don't know what the future of Grafpup is, unfortunately.