Blog activation in buddypress Fun theme

I need someone help on this issue, i am still a newbie in this issues. So far so good with the wmpu dev.Premium team.. please i still bring this issue.
I am runing buddypress fun latest version on my site. After signing in to creat a blog in the sign in page (JOIN HERE), we and good i could see the newly created blog location at the Site admin - Blogs. But then when i try to locates it on the internet, it come up with this link

I thought it was issue of theme selection then i selected a theme for the same blog from the edit button in the admin. The problem contniues. Please let some one answer this time.

How will a new user create new blog that will run a subdomain .e.g with name as his blog name in fun theme of buddypress.. my head is spining...