Facebook isn't activating the users correctly in Joomla

Thanks for clarifying further. It's important to know that the SCLogin module uses Joomla's core registration and login system for the 'standard' login process. When the user clicks "Register" in the SCLogin module, they should be redirected to the Joomla registration page.. or some other page to register. JFBConnect (or the SCLogin module) doesn't handle standard Joomla account registrations.

There are plugins out there to allow for email/password authentication, but JFBConnect or SClogin doesn't implement those features on it's own. However, any plugin or other system that uses the standard Joomla registration/login process will work with SCLogin.

I have *never* used it, but the extension below is the first on Google when I search for "joomla email as username":
extensions.joomla.org/extension/email-as-username

Give it a shot and see if that works!
Alex