There's more and more KF8 books available all the time. But as Harry said, it's up to the publishers if they want to update their current and backlist offerings to the newer format. Most new stuff will likely be KF8 (even if the books don't utilize any of the new capabilities).
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When I download the free chapter from Amazon, there is no dropcap, because mobi does not support dropcap. Obviously, if the book was in KF8 format, there would be a dropcap.
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Make sure you're downloading to a device/app that can
support the new format: Kindle Fire, Kindle Touch, and Kindle Apps for PC and Mac >= v1.9. That's what I know of for sure... there may be others. You can't see it if you can't see it.
