No, the normal version blocks (at least permanent) installs. You need the developer version to install unsigned extensions.
Correct. It's incredibly how much misinformation there is about signing, even here where people should know better. It's very tiresome.
I see. The extension I installed to test that actually is signed, though it's not in AMO.
I don't like this. I know there have been issues with malicious extensions, so it makes sense to me that installing unsigned extensions is turned off by default, but requiring developer builds is a step too far.