DreamLinux and screen problems?

[lhamil64]

I have a LiveCD iso file downloaded of DreamLinux, and i'm trying to get it to run in VirtualBox. When i first start up the VM, it gives an error saying:

The Virtual Machine window is optimized to work in 32 bit color mode but the color quality of the virtual display is currently set to 16 bit. Please open the display properties dialog of the guest OS...

And then (even if i leave this message open) it comes up with a text (dos-like ish) error message in the VM saying that the X server couldn't start and then if i read the details it gives a bunch of output (that i can't understand lol)
Here is a snapshot of the first X server output:

then if i hit exit it comes up with another output:

And then it tells me that my X server is disabled.