I'm a bit annoyed at all those people who are saying, "No!!! Don't put your novel online because it'll kill your chances of getting published. That's why I'm not putting mine online!"
Someone else on the Nano forums had it right when he said, "Hmm, either the standard is unbelievably high or there are alot of dreamers this year."
Actually, there are dreamers every year. But there's a difference between bad dreamers and good dreamers. The dark side of being a writer is that one can get pretty arrogant and egotistical especially if thrown into a vat of other writers. I think the thing to do is to avoid the people with publishing obsessions (because they can be downright depressing--even worse than the "This is Working Far Better Than I Had Hoped" forum) and just do what you like best.