Still using it sometimes. Have had the iPod 4G 32GB since January 2011.
Also have nearly all the SHSHs (downgrading) backed up. That was a good thing to do.
Initially, when it ran iOS 4 (4.2.1, 4.3.x), it was blazing fast and i thought it would last atleast 5 years (yes thats ridiculous now but i was very optimistic back then) .
When iOS 5 came out it became incredibly slow. Immediately downgraded back to 4.3.3 and jailbroke it until more and more apps required 5.x.
Then updated to 5.1.1 and it worked better.
But when iOS 6 came out it was again slow as hell. I tried some minor iOS updates and jailbroke it on 6.1. It didn't help and the jailbreak slowed it down even more.
Later updated it to 6.1.3 and 6.1.5 and it was still very slow and crash prone.
BUT, 2 weeks ago I once again downgraded it back to 4.3.3 and it feels so much faster and snappier.
But the descision now is: Have 4.3.x and a fast iPod, but a lot of apps incompatible? Or have iOS 6.x and a lot of apps working, but a very slow iPod?
I think i'll stick with iOS 4, since iOS 7 isn't available so even on iOS 6 there will be apps that won't work.
This is a very interesting post. My touch 4g (32 GB) came with iOS 5.1 and it was incredibly fast and smooth with no crashing at all. When i updated OTA to 5.1.1 is when I first got a crash in Safari and some other apps. iOS 5.1 seems to be the best iOS 5 firmware for the 4g.
Although 5.1.1 may be better in battery life (I changed one setting which was a known battery drain)- never tried on 5.1 so not sure.
If you have iOS 5.1 SHSH blobs saved, set up as new and run that firmware. The performance is smooth, UI animations are fluid and apps do not crash (especially Safari), and battery life should be decent.
I would not stay on any iOS 4 firmware for the touch 4g. Mainly because of app compatibility. Updating to iOS 6 will allow for more compatible apps but with low free RAM, they will not run well and crash. iOS 5.1 will support a good amount of apps and the performance is great. It is the best case scenario for the touch 4g in terms of performance and app selection. Also iOS 5 has good features over iOS 4 such as iMessage, iCloud, notification center.
I'm still on iOS 5.1.1 and never updated to iOS 6 because I was concerned with low free RAM, battery life and did not like the changes Apple made (such as new music layout, iTunes/App Store layout) Also, iOS 6 really did not bring much to the touch 4g anyways.
Can you first try the firmware you are on now and go to Apple's website and see if it crashes? Then try on 5.1 and see if it crashes:
http://www.apple.com/iphone-5s/features/
I believe 5.1 will not crash. I wish I had saved SHSH blobs for 5.1 but I thought updating to 5.1.1 would be fine and not cause crashes to apps (mainly Safari).