CrunchBang Linux

make is referring to the compiled binary within your "compton-master" directory. It is not related to your installed compton.
If you build compton with make and it has been compiled successfully, any further "make" command within the build directory will output this line until the source files change.

When you navigate to your "compton-master" directory, you may test the compiled binary via:

./compton --opengl --vsync opengl-swc --paint-on-overlay

The "./" prefix executes the compton binary within the current directory instead of the system one.

You will always get tearing without compositing (at least on desktop)!
You can achieve a tearing-free (desktop + video) experience through compositing only.
Unfortunately, the current compton version shipped with Waldorf isn't able to eliminate tearing since it is using an XRender backend but the newest git version includes an OpenGL backend that can solve this problem:

1. Download the git version of compton: https://github.com/chjj/compton

2. Compile it. The build dependencies are listed on the github page, just install their *-dev packages. If you're stuck, just ask.

3. Do not use the shipped /etc/xdg/compton.conf! You will get lags with this config. Create a new (minimal) one in your home folder instead:

   # ~/.config/compton.conf
   
   shadow = true;
   no-dnd-shadow = true;
   shadow-radius = 10;
   shadow-offset-x = -16;
   shadow-offset-y = -16;
   shadow-opacity = 0.6;

   (adjust it to your liking)

4. Use the following command to execute compton:

   compton --opengl --vsync opengl-swc --paint-on-overlay

   Note: First, you need to put the compiled binary where the system can find it (i.e. /usr/bin) but pay attention to the originally installed compton. You may remove it beforehand if you don't care about the dependencies. Otherwise you could rename the new one to sth. like "compton-git" and change the command accordingly.
   Adjust your autostart compositor line and Openbox menu entries where necessary.

5. For best video experience, I recommend either VLC with XVideo output or mplayer2 with XV output.

There should be no need to adjust any nvidia settings or fiddle with xorg.conf. Just use a clean xorg.conf created by nvidia-xconfig.