The Trail Days website has moved to
http://www.traildays.us/
I never officially been to Damascus during Trail Days. But its THE event for hikers. Lets just say the small town of Damascus gets invaded by horde of hikers.
Most of the thruhikers will be just hitting Damascus, while others will be coming back down for the event. A number of other hikers will be just driving in to attend the event.
It looks like thru hikers are allowed in the campground on Wednesday. Then drive ins will start Thursday. If you want to stay close to Damascus but avoid the crowds. Lodging can also be found in Bristol TN/VA and Abingdon VA. Also FS campgrounds at Backbone Rock and Bear Tree, or along the trail.
You definitely want to bring some cash for food, parking, and camping. Most of the events are free. You want to keep an eye on the free food events. There will be drawings/contests for gear, hiker parade, water ballon fight...
I will be working the Kincora Hardcore event. If you are interested in giving back to the hiking community and want to help by building trail, sign up for Hardcore. Ubber popular.