With DVDev, you have your distributed source control system (Mercurial), an issue tracker (YAMLTrak - "yt's on top of hg"), and a wiki for editing your documentation (MarkaWiki).
Storing the issues in the repository, means that you always have an up to date copy of the issues affecting your version of a project. Atomic commits means that your issues are automatically linked to the work you've done, without the need for special commit messages, or extra issue comments. Having your wiki be the same as your versioned documents means that there is one authoritative source for you documents, and users won't be confued.
Using distributed source control means lowering barriers to working on a project. This still leaves a disconnect between your project and other people possibly working on it. In addition, many non-developers will be left out, since they won't be as comfortable using the source control tool. DVDev provides a web-based interface that is a pleasure to use. There are no accounts, and just signing in with your OpenID creates a private clone of the repositories.
DVDev uses Meritocracy to help you manage a project. When you merge changes into the project repository, you are accepting user contributions. Meritocracy watches a repository and figures out who the active contributers are, and grants them access depending on their level of engagement in the community. Rather than managing your project, your project manages itself, simply reflecting the current state of the project.
DVDev can group multiple projects into a single instance. Because the issues and wiki are stored in the repository, users can submit bugs against your local copy, and you can push fixes upstream and pull changes down, without having to worry about the disconnect of maintaining your own issue tracker or docs. In addition, you can manage all of your embedded projects from a single location.
The DVDev instance running for your project contains all of the repositories that make up your project. The DVDev instance you run locally contains all of the repositories you work on, no matter which project they belong to. You now have one place to do all of your work, and the distributed nature of DVDev brings everything back together again.
Please take a look at our first screencast. (Or watch it on YouTube here.)
Come check out the google group at http://groups.google.com/group/dvdev.
You can also take a look at the source, which is available right here at http://dvdev.org/source.