Yes, I’m using v0.4.
I enabled permalinks, enabled the plugin debug log, saved changes, then tried to install the button (via the link on the settings page) twice. Here’s all I get in the debug log:
2010-09-14 03:30:39 Permalink structure: /archives/%post_id%
2010-09-14 03:31:21 Permalink structure: /archives/%post_id%