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A jailbreak has been discovered for the iPod Touch running firmware version 2.1. It is only for the iPod Touch, and is sort of tedious, but I’ve heard it gets the job done. I personally have not tested it, due to the lack of an iPod Touch, but if you want to try, click the read more link for instructions.

*Instructions copied from iPodTouchFans*

1. RESTORE to 2.1, don’t upgrade, it could mess the process up…

2. Download the link below (Its QuickPwn, with jfb392’s bundles)

http://rapidshare.com/files/14455077…wnRC3.zip.html

(All Credit goes to jfb392 for the bundle)

3. Once downloaded, extract the .zip files with a Archiver, you can use any. If you dont have one, search for WinRAR, and install it.

*. Before you do anything to the actual iPod, and if its jailbroken, go to /System/Library/PrivateFrameworks/MobileInstallation.framework. Make a copy of the MobileInstallation file in there, on your desktop or something

4. Run QuickPwn. Pick iPod Touch. Then when it asks you to browse for the IPSW (iPod Software) file, pick the 2.1 Firmware file, and then go next.

5. Go through the steps in the Terminal. It sounds hard, but the steps are really really easy.

6. Once the QuickPwn Terminal process is done, the Pineapple, and then Spinning wheel should be up for a while, and it should reboot… dont worry its fine.

7. Now that the iPod is back to the home screen, CYDIA and INSTALLER ARENT THERE!!! OMG!!! Good! That how it should be.

8. If you didnt get the MobileInstallation from before, you have to go googling for it, i am not going to post it…

9. Now you have to download Total Commander, or any other file browser that works with the iPod through USB… Here a link of Total Commander, and the t-pot plugin for Total Commander to let you browse around the iPod. Installation for the plugin is in the second link.

http://code.google.com/p/t-pot/

http://www.ghisler.com/download.htm

11. Now on Total Commander or whatever you have, connect to the iPod and go to /System/Library/PrivateFrameWorks/MobileInstallation.framework

12. Now that your in there, make a backup of the MobileInstallation thats in your 2.1 iPod now somewhere where you can get to later, and after you get that done, get the MobileInstallation from 2.0.1 and drag it to the iPod and overwrite.

FOR PEOPLE THAT ARE HAVING TROUBLE WITH THE WRITE PROTECTION!

In Total Commander, you have to drag the file from one side to another in Total Commander. So on the left, navigate to the spot where you have your MobileInstallation in, and on the left, navigate to the spot where it goes.

13. Now REBOOT your iPod… and Turn it back on…

14. Hurrah! You know have Cydia and Installer on there…

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Thanks to whoever found this on iPodTouchFans. If you tried it, and it worked, leave a comment telling us. Enjoy!

And here’s the link to the forum that has the tutorial.