"Literally" is supposed to signal to the reader or listener that the person using the word is not being metaphorical or exaggerating. Any other use is misuse, I have always thought. A quick Google shows that its careless use really riles some people - one blogger called it "the new 'like' ". It isn't really new, though. Appearances have been noted for a century and a half.
I also see that it is now one of those errors that permissive dictionary editors like to endorse. Webster's Collegiate says use "literally" as hyperbole if it makes you feel good. The American Heritage Dictionary also says it's fine. The Merriam-Webster Dictionary, while trying hard to be permissive, puts its finger on the problem. If we accept the sloppier use, then the word acquires two meanings--"factually true, precise" and "in an exaggerated, hyperbolic sense." Unfortunately, those are roughly each other's opposite.
I am not sure about RightPondia though. The unabridged Oxford English Dictionary prints a stern warning against misuse. It notes that in 1863 a writer claimed, "For the last four years I literally coined money."