I DO NOT TAKE CREDIT FOR THIS!
1. Attempt a restore of 2.2.1 in DFU Mode
2. Get the iTunes error message.
3. Reset device
4. Launch QuickPwn
5. Press next and get past the first 3 steps.
6. Bam, phone is fixed.
EDIT: It does work, just tried. iPhones baseband will still be updated but 2.2.1 works fine on it.
1. Attempt a restore of 2.2.1 in DFU Mode
2. Get the iTunes error message.
3. Reset device
4. Launch QuickPwn
5. Press next and get past the first 3 steps.
6. Bam, phone is fixed.
EDIT: It does work, just tried. iPhones baseband will still be updated but 2.2.1 works fine on it.