Yes there has been some progress in this area.
As part of the work to get Full Disk Encryption
Osk-sdl has already been packaged for the Librem 5:
But this is only a small step, our ultimate goal is not to just provide a live image that the user installs and it has LUKS support.
But a OEM like experience with the OS, in which the user receives a device with the operating system installed already using Full Disk Encryption but no user created.
And all that the user has to do is to run the first setup, create the user and replace the LUKS passphrase via the GNOME Initial Setup dialogs and he is good to go.
Osk-sdl is one step in this direction, but to accomplish this second option, more work is required.