I am a big fan of playing psx games on the iPhone. I managed to get FF7 working at pretty much full speed on my 3GS this time last year, so I am ambitious the iP4 will be able to go that one step further.
I also am looking for an SSH alternative to sort the bios/roms out.
I've managed to get them in the right place by using 'iPhone explorer' - but am yet to set the permissions correctly as the application does not allow this as far as I can tell (through WinSCP you could do this). But then again equally I did not install afc2add through Cydia as somebody on here suggested.
So I am going to have a tinker with things tomorrow and see what happens.
P.S - I am not reverting to the SSH way of doing things as OpenSSH appears to be not liking the iP4/iOS4 for some reason yet.