It would be the latter if it happened. Consider that the device was meant to inject the furball into an existing seal, as opposed to making one. Doing that to a fully developed human with no seal.... yeah no.
Yeah, I don't think result would be good. And even if it more or less succeeds, I suspect chakra poisoning would do the job instead. Kyuubi chakra is supposed to be a very poisonous thing, so Sasuke wouldn't take it well. Kyuubi Jinchuuriki pretty much must be Uzumaki in the first place. I guess someone with very strong vitality like Senju could possibly take it. But Uchiha I don't see it.
Right. Proper Ninja stand out in the open battlefields in bright colors and fight as standard armies./s
EDIT: Added the /s and changed a word.
As mentioned before Naruto is based on old legends like
The Tale Of The Gallant Jiraiya which is pretty much origins of The Sannin in manga and it's a japanese legend about Jiraiya himself. And in those legends those 'ninja' are pretty much battle wizards. Naruto has very little common with the ninja we know. There are some examples (like ROOT), but most shinobi are first and foremost direct battle experts, not stealth one. Although there are really good stealth characters like Muu, so it's not non-existent.
- Instant Regeneration: Instant Regen could come from Hashirama cells. It would be pretty disgusting to desecrate the first Hokages body to give him Hashirama cells though, especially when Daisuke is powerful and intelligent enough to give the guy a medical upgrade which could do the instant regen. That said, Tsunade didn't have any problems making Naruto a prosthetic from his cells which gave him the upgrade, so it could be done without raiding his corpse, I guess.
- Wood Release: Wood Release could come from a discussion with Hagaromo, giving Naruto the Sage of Six Paths Chakra. Or from a DNA transplant.
- Yin Kurama: You've given him the other half of Kurama, so that's sorted.
- Rinnegan: The Rinnegan is an easy one. Just giving him a DNA transplant of Itachi Uchiha who has the Mangekyo, and then Sasukes Mangekyo would give him Eternal Mangekyo. That would instantly upgrade to Rinnegan on its own, since it would be a combination of both of Hagaromos sons chakra.
While those are most obvious, but I think it would be interesting to see something less common. Like for example Naruto with Shikotsumyaku (remember the bone guy called Kimmimaro? This is it) and if it evolves to
All-Killing Ash Bones then you have an attack that is strong enough to disintegrate pretty much anything on casting. Scary.
Tenseigan would also be a game changer, but it would be kind of hard to apply here. As it requires Otsotsuki bloodline and Byakugan. Although taking into account how bullshit Daisuke is... some instant genetic code swap is something I suspect he could do.
Also, Bright Orange does work for Ninja, because most of the time Ninja being Ninja against people are in cities, and who'd suspect a guy in bright orange of being a Ninja? Dreaming of Sunshine wrote that well.
Orange can be in fact a camouflage color. Tigers are obvious first option, although in this case stripes help out a lot. But color orange works well to hide in high grass and deserts. Also Dingo Dogs from Australia are orange. Or you know very obvious predators which also prefer to attack from the stealth like foxes

. So yeah, orange in fact is a color which shows up pretty often in nature and many species which prefer to attack from stealth use it. Most common is as mentioned in high grass/desert environments.
Adults when they graduate is fanon.
Did Naruto say that fighting Daisuke would provide Daisuke with a challenge, or that he could beat some sense into him? Because Naruto seems to be operating on intuition there, and his intuition isn't wrong. Everyone telling him no is humourous lampshading of talk no jutsu, that Natuto uses regularly against more powerful characters, to amazing effect.
I would say that this Naruto is simply not experienced enough to really pull off 'Talk-No-Jutsu'. He misses lots of important experience to really UNDERSTAND people on some instinctual level. He already missed possibly one of the most important lessons from Haku. I have a feeling that he will be less effective in this story with it or it will be very different 'talk-no-jutsu' type, something more logical then instinctual?