Does the 1.1.4 JB not work for you? I would of though that being on the current firmware would save some of the incompatibilities you mention.
Some people want 1.1.1, becouse they believe it is more stable for 3rd party apps *shrugs*
G4L said:and will my installer work then and not give me the package download error?
I would recommend ZiPhone or iLiberty over Pwnage, it's a lot more hassle and the former two are one click so
ZiPhone also installs OpenSSH and the BSD Subsystem straight out which is a nice touch.