I’m having the same issue with the API Key. I have registered an account with WordPress.COM and I have an API Key. Like 11V above I still get “Your key appears invalid. Double-check it.”
And, like 11V, I can’t deactivate it because, according to it, I have no key.
I’m starting to hope this plug in is worth the effort, confusion and scattering me across sites I don’t have any intention of using.