I do not mean to sound disrespectful or indignant by asking this but Why not do a bug fix and make it so one can use a CD since information on Damn Small says it can be burned to CD. Not every one knows how to copy ISO's to USB including myself. Plus it would save on people getting frustrated. THANK YOU for your time and consideration.
It should work just fine when you burn it to a CD... It did for me a while back... Haven't tried with 4.11RC1 or RC2 yet... Have you checked the MD5 for the ISO?