Can I Downgrade iPod touch 2G?

Downgrade to iOS 4.1 is Currently Supported
Apple is currently signing multiple iOS versions simultaneously. This temporary signing window overlap allows you to restore your iPod touch 2G to the older build(s) listed below using a computer without encountering verification errors.
September 3, 2010
November 18, 2010
September 3, 2010
August 9, 2010
June 17, 2010
January 22, 2009
November 17, 2008
September 5, 2008
Can I downgrade from an iOS Beta on iPod touch 2G?
Yes. If your iPod touch 2G is running an iOS Beta, you can always restore back to the latest signed public release using Recovery Mode in Finder (Mac) or iTunes / Apple Devices (Windows).
Can I downgrade to the iOS version iPod touch 2G originally shipped with?
No. Apple permanently closes the signing window for older releases. Even though iPod touch 2G originally launched with an earlier version, Apple servers will no longer authenticate that installation.
What can I do if I cannot downgrade iPod touch 2G but experience battery or performance bugs?
You can perform a clean restore to the latest signed firmware using a computer to eliminate software glitches and corrupted cache, or await the next minor point update from Apple that includes targeted bug fixes.
Can I downgrade iPod touch 2G if the signing window has closed?
No. Apple servers reject restore verifications for unsigned builds (returning iTunes Error 3194). Unsigned firmware cannot be installed on standard Apple devices.
Will restoring or downgrading iPod touch 2G erase data?
Yes. Flashing an IPSW firmware file requires a restore that wipes on-device storage. Ensure your personal data is backed up to iCloud before proceeding.