Whats the controls?
Draw blocks with the left mouse button, erase them with the right. Fairly simple.
Whats the Tileset folder?
Modify the tiles in it, whilst keeping the magical pink, and you will change the tileset the program will use. You can change this during runtime by pushing "R". Haven't tested this, be sure to check if this isn't the case.
What does Terrain Transitioning do?
Makes terrain pretty darn pretty. For a detailed tutorial click the upcoming link.
Tile/Map-Based Game Techniques: Handling Terrain Transitions
My GOD!? Saawce ;_;
Not a question, but it's in the Downloads. Be sure to have 0.99.72 or else you'll get the old "Out of Memory" crash. Oh construct~.
I'd like to thank deadeye, for referring me to this awesome technique, and for being an all around awesome help.
Also wheelchair basketball.