The distrubution of the new release has to be structured in a specific way to make it easy for users to install the module. Eventually, this structure may lead to the implementation of an automated module installer, using this structure as a basis to locate the right files.
First of all, the format. Modules should come in .zipped format or in a Linux tarball. Both is also good (even better!)
The release structure should be like this:
/Distribution root /README.TXT /LICENSE.TXT /INSTALL.TXT /UPGRADE.TXT (if applicable) /CHANGELOG.TXT (if applicable) /LANG_DIFF.TXT (if applicable) /modulename/xoops_version.php /modulename/admin/ /modulename/blocks/ /modulename/templates/
This way, a user can unpack a module and drag it to the xoops_site_root/modules/ folder to make it ready for install. Because the documentation is for the user only (and not needed by the system), they are kept out of the module's main folder.

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