I'm not wrong :) This is how the system works. If you are experiencing bumps along the road, there are certainly problems to deal with - but you use your validated email address and chosen password to log in.
What do you mean by "The password seemed to work fine"? Did you validate your account (with a message akin to "Your account has been validated")? Did you click on the link in your email, or copy and paste the URL manually, which is recommended instead?
On a side-note, please don't make off-topic posts in threads that have nothing to do with what you are posting - like explaining your validation problems in a thread about the Death Realm :) We want to keep the forum organized, so either make a new thread or add your post to an already existing one (recommended!) like you did now.