I followed steps you described above. I've gotten over before but not to the text
login prompt as you. First time I was prompted in GUI env. to create account, set password
etc. Then the machine was stucked. During 2nd, 3rd... reboot RPi stucks after following
lines:
[84.352264] IPv6: ADDRCONF(NETDEV_UP): eth0: link is not ready
[84.615587] lan78xx 1-1.1.1:1.0 eth0: kevent 4 may have been dropped
[84.634601] IPv6: ADDRCONF(NETDEV_UP): eth0: link is not ready
[84.932181] bridge: filtering via arp/ip/ip6tables is no longer available by default.
Update your scripts to load br_netfilter if you need this
...and that was all.
I have no ethernet dongle. LAN cable was disconnected. That is the difference between my
and your hardware setup. Maybe it could be the reason.
Probably I will stop to spend time with attempts to boot just developed F28 distribution
and will wait for official release, which should be available and hopefully prepared for
RPi3+ without manual intervention (based on road map info) at the beginning of May 2018 -
it is not so long.