I have just verified that latest image (
v0.4.0 as of 8/17/2017) downloaded from the github releases page is working properly.
Perhaps you missed a step in the process. Did you unzip the file, and use etcher to flash the image to the sd card?
If the troubleshooting steps mentioned above (mouse + keyboard, and fresh Raspbian Jessie Lite image) do not yield any insight, this might indicate you have a faulty Raspberry Pi or SD card.