I posted below as answer on the Asus forum and decided to post it here as well for reference:
With firmware 3.0.0.4.376.3861 the router FTP server feature works very simple, older versions may behave different:
General>USB Application>Media Services and Servers>FTP Share Tab
Set Enable FTP to On, accept the warning message.
Make sure you have media plugged in one of the router USB ports, with a folder which has the user rights set (the best is to make the folder through the router Add new folder utility):
You can now access the router FTP server (folder "data" in above example) over the outside Internet, by either router WAN IP address or DNS name (if set), port number 21 and by default the administrator username and password.
You can also access the router FTP server over the LAN, by either the WAN IP address or LAN IP address, nice huh?
Warning: FTP use in this way is rather unsafe, as the user credentials for FTP are send over the Internet without encryption (standard FTP behaviour). For sure you shall not allow anonymous login.
For local access over the LAN you beter use the Samba feature, straight forward as above.
Note: you shall not configure port forwarding for this FTP feature to work, if you set a port forward to port 21, you break the router FTP server. And you do not need to enable Web access from WAN.
With firmware 3.0.0.4.376.3861 the router FTP server feature works very simple, older versions may behave different:
General>USB Application>Media Services and Servers>FTP Share Tab
Set Enable FTP to On, accept the warning message.
Make sure you have media plugged in one of the router USB ports, with a folder which has the user rights set (the best is to make the folder through the router Add new folder utility):
You can now access the router FTP server (folder "data" in above example) over the outside Internet, by either router WAN IP address or DNS name (if set), port number 21 and by default the administrator username and password.
You can also access the router FTP server over the LAN, by either the WAN IP address or LAN IP address, nice huh?
Warning: FTP use in this way is rather unsafe, as the user credentials for FTP are send over the Internet without encryption (standard FTP behaviour). For sure you shall not allow anonymous login.
For local access over the LAN you beter use the Samba feature, straight forward as above.
Note: you shall not configure port forwarding for this FTP feature to work, if you set a port forward to port 21, you break the router FTP server. And you do not need to enable Web access from WAN.