I think you may be observing the consequences of some electrical disturbance on the I2C bus, perhaps induced by some wiring issues. Is the serial over USB received from a USB device or from the host computer? What device is it? Do you have a scope that you could use to observe the I2C bus when this error happens?
I removed the Serial init part and now it works.
Is it enough to disable it in software then or did you have to also disconnect the USB device?
How are you touching the Trill Craft? does your body get in contact with the electrodes or are they covered by some layer of insulating material?