Daniel announced that he was working on MCTB2 quite a long time ago and I haven't heard anything since. What exactly is going on with the book?

Well, you can find the draft of the new Part I here: http://integrateddaniel.info/mctb2-draft/

Part II and III are apparently still being edited, but in order to drive home one the core messages of the book (being enlightened does not make one an emotionally perfect being), the enlightened writer and his by now equally enlightened editor decided to have some undisclosed conflict and drama, which has resulted in further delays

(see it as a form of teaching by doing