Groovy Arcade Linux is an up to date GNU/Linux system, in 64 or 32 bit liveCD versions. It can be installed from the LiveCD onto the hard drive and work is being done to make it work from a USB pen/stick/flash drive too.
Installed it from live cd, but grub didn't boot at all ("file not found"). Needs more work to make installation easier. On the positive side, this is the only distribution so far which got X running on ArcadeVGA and arcade monitor.