I also had this issue, took me ages to figure it out. What work for me was to format the card in windows to exFAT, then put the card in the camera then formatted in the camera through the app, then put it back into windows, copied the demo.bin to it. Disconnected the power from the camera, put in the sd card, held down the setup button and powered it up.
I got the blue light after a few seconds and left it to do its thing. After about five minutes and some flashes and clicks the blue light stayed on. I was waiting for the flashing orange light, but it just stayed blue. I discounted the power and plunged it back in, conneted to the app and there was the new firmware.