So after some work and getting things rolling, we finally have a working example of how LTI can be utilized to create blogs for Moodle Courses. A teacher in moodle is added as an administrator in wordpress. Likewise, a student in moodle is added as an author in wordpress. This is a GREAT way to get students publishing to a common website (in this case wordpress blogs). It is easy to use for both students and teachers alike. This does require that you have a fresh wordpress multisite install.
As soon as I see all the ins and outs I will post some more information. For the time being, watch the video to see how easy it is to integrate WordPress with Moodle using LTI.