Well I'm sure Jaxx got you covered in his PM, but you don't need Jerry to answer that, lol, the topic's gone around enough lately that we pretty much know the deal. Search is your friend. I'm a new Hog, so it may be useful for you to hear my experience of it, since I payed attention to much of the recent discussion on it. Keep in mind you'll get a few different opinions, depending on whom you ask, but I base my understanding of it mostly on the Boss's words:
Your a Hog when the Boss says you are. This can happen a couple different ways. One of them is that you show up at Blade West and are deemed Hoggish enough to be chosen and inducted in a special ceremony. The other way is that at some point, when you think you qualify, you email Amy with a specially formatted induction request letter, and the Busse crew decides if you're worthy. This seems to happen most right before special Hog-only offerings. What seems to be grounds for qualification? Well, buying at least a few Busse knives, ideally more, having been around a while, showing a strong interest in Busse, and making a good case for your induction.
The Boss has made it clear that there are not different Hog statuses, no e-Hog or i-Hog or such. Hogs inducted online are not a lesser class of Hog. A Hog is a Hog, no matter how you were let in. Some of the old-guard resist that a bit, as well as sharp increases in the number of Hogs, but the Boss thinks the more Hogs the better.
Now, among the brethren, there are some unwritten rules. Honor, kindness, and fun are among them.
I'm personally glad one can be inducted online. It makes sense to me. Not all of us can travel, but that doesn't diminish our interest in INFI. The Hog thing is a good marketing tactic on the part of the Busse crew, and that may be the primary reason it exists, but it also creates fun and brotherhood, which make knife collecting more rewarding.