Devices Supported: iPhone 2G, iPhone 3G, iPod touch 1st Gen, iPod touch 2nd Gen
Computers Supported: Mac and PC
Firmware Supported: 3.0
Necessary Downloads: RedSn0w 0.8 and 3.0 IPSW file for your device
You can either follow the steps in this video or read the written instructions below. The download links are posted below the video.
Go here, click on the second drop down bar and find your corresponding device with the 3.0 firmware and download it.
(These are the direct downloads of ipsw files from Apple's servers, we have not uploaded them).
How to Jailbreak
1. Download the correct version RedSn0w 0.8 for your computer from above.
2. Download the correct ipsw file for your device from the link above.
3. Connect your iPod to your computer and place into DFU mode (see video).
4. Open RedSn0w.exe.
5. Browse for your firmware ipsw file.
6. Keep clicking next.
7. Let your device finish what ever it is doing.
Once your device reboots, turn it off and restart it.
Once it's done, your device will be fully jailbroken and ready to go! Now you should check out the How to Free Space after Jailbreaking post to free up space to install new packages.