Once these are downloaded, install QuickFreedom. After the installation is complete, open it up and click Jailbreak, you should see this screen:
If you do not have LibUSB installed (it tells you beside it) simply click the install button and let it do its thing. Any device you have connected via USB will disconnect and reconnect as it installs the required drivers, but everything should be functional again after about a minute or so.
Now you need to find the firmware file. If it says “not found” beside “Original 2.2.1 Firmware” simply click browse and find the firmware you downloaded. Once both of these are done, click next. You should see this:
You’ll notice it doesn’t say anything about Cydia, this is because its automatically installed. So go ahead and check or uncheck installer and custom boot logo. If you want a custom boot logo, click the Change button, you should see this:
Here you can choose your boot logo. You may choose one of the presets or browse for your own. Once you’re done click ok and you’ll be back on the screen for step 2. Once you’ve chose your options, click the “create firmware” button. Now, at this point, it’s best not to do anything else, just let the process finish. It should take about 3-5 minutes. Once its done click the next button. You should see this:
Ok, now for the hardest part of the jailbreak, getting it into DFU. To do this, first plug your iPod into your computer. Now, press and hold the home and power buttons until the screen goes blank. At this point, release the power button and keep holding home, keep holding until you hear a beep/ding from your computer. If you did it correctly your iPod screen should stay blank, but the computer will still detect it.
Once you’re in DFU mode click the “Start Pre-Jailbreak” button. Your iPod Touch screen will turn white as it’s preparing for a Jailbreak. After this is finished, iTunes should be up and visible. Hold Shift and click Restore (in iTunes), this allows you to choose which firmware you want to install. Browse to the firmware you created in Step 2. iTunes will extract and install the firmware file. After the firmware is copied and installed, you should see this:
Congratz! You now have a jailbroken 2G. Enjoy!