The readme file has been updated because the plugin features explain was wrong in several points, also the most important has been updated to:
Wp w3all phpBB integration
Integration cookie based between WordPress and phpBB installed on same and subdomains.
After the setup and initialization of the plugin, WP users will automatically be added into phpBB when they register in WordPress, while without using the phpBB extension installed into phpBB, if users are allowed to register in phpBB, they will be added into WordPress when they will visit the WordPress side as logged in or at their first login in WordPress (or install the phpBB extension to add users at same time into WordPress when they register in phpBB). But you could use the plugin just only to transfer users between phpBB and WordPress by activating the plugin as not linked (read the help install page), or to show phpBB posts into a WordPress hosted into another domain.