There's a new prefs page called Categories. Screen shot.
If you don't want to use categories, just leave it blank.
Otherwise, enter the category names, separated by commas. The order they appear in determines the order the appear in the user interface. You can put blanks between the category names, but they are ignored by the software.
The category feeds are stored alongside the main feed. The name of the feed corresponds to the name of the category. So a category named Olympics will have a feed named olympics.xml. A category named Simple Syndication will have a feed named simpleSyndication.xml.
The categories are shown in the Title, Link & Enclosure section on the home page of the Radio2 site. Click the wedge to reveal them. Screen shot. As you can see they're just checkboxes.
If you want to find the URLs of your category feeds, look in the Log page after adding an item to a category. There will be a link to the feed under its name. Screen shot.
If you want to change the category assignment of a post, click the Edit icon in its row in the history table, uncheck the category box, and save. The relevant category feeds will be rebuilt.
There's also a place to enter a link to an avatar image that can be used to represent the user in a social network. Starting to bump up the priority of the loosely-coupled Twitter-like network. The avatar image is not provided for directly in RSS 2.0 so I added it to the microblog namespace.