I continue working on Markdown parser and for now it already supports:
- span elements (bold, italic, inline images links and code)
- settext and atx headers
- code blocks
- blockquotes, partly supported for now (in some cases output differs from original Markdown output)
- horizontal rules
- backslash escaping for special chars (\*, \`, etc)
It took much more time than I planned to implement all this stuff. The process
of writing a good syntax definition to support all possible cases appeared to
be very tricky. However I'm moving on.
Things that are left:
- lists
- paragraphs
- reference-style links and images
- autolinks
Here is the latest test you can play with - languages test.
For more info on Markdown's syntax you can visit official Markdown syntax documentation.

Markdown only?
Hm if possible I'd rather see a dojo version of MarkitUp, which has an extremely smart plugin structure.
That would make dojo in general even more versatile.
If I wasn't such a JavaScript noob, I'd help instead of beeing just another smartypant ;)