How to deal with trolls here? If it were me, I'd give a warning for each instance of obvious trolling. 3 warnings = a ban. They can write up a ban appeal to possibly get unbanned if they want, and the moderators would review it and vote on whether they believe the person would correct their behavior and should be given a second chance.
Thanks for pointing out that I need more information for my own forum's procedures for dealing with rule breakers. That should definitely be specified, at least to some extent. I imagine the procedure will end up similarly to what I just stated above.
Your approach seems very reasonable, and certainly in line with what I read after a quick search on "forum moderation best practices". I might just have to go over to bitcoinforums.net and register (if you'll have me!)
You think this forum is horrible, the MTGOX support forum is like a seething hellish troll slaughter orgy trainwreck.
ROFL...I'll be looking for ways to use that phrase in everyday conversation. Gotta suck being a mod @MtGox right now.
Note that the forum admins are an almost completely distinct group from the bitcoin devs so don't rail on the devs please because of this

Excellent point. Although it kinda makes you wonder who's in charge here, because IMO this forum is a liability for bitcoin adoption. It's
bitcoin.org for christ's sake! Since the devs have as much (or more) skin in this game as anyone, I'd expect them to be the most vocal proponents of cleaning up this place. (not publicly on the forum, of course)
EDIT: Har! We're in Other/Meta now! Be careful what you ask for, eh? I'll take it as a good sign, though.