Bluetooth is one of the defining features of ProgArm. Even though there are some hardware features that could work without bluetooth connection, most of the usefulness comes from pairing ProgArm with another device.
nRF8001 is built into ProgArm 0.3, there is no extra configuration needed.
HC-05 modules are very cheap and easy to get, but they are not BLE (Bluetooth Low Energy). Therefore expect huge Power Consumption.
HC-05 was used in ProgArm 0.1 and ProgArm 0.2, starting with ProgArm 0.3 we are using nRF8001 BLE chip. However, you can still connect HC-05 to ProgArm 0.3 if your phone does not completely support Bluetooth 4.0 (or just BLE). Firmware supports communication over USART natively, so there is no extra configuration required (in fact, that is the only way to communicate for now).