MuscleNerd, a prominent member of the iPhone Dev-Team, has recently uploaded a video in which an iPod touch (4G) running iOS 4.2.1 is booted without being connected to a computer.

The video, which is embedded below, hit Twitter not long ago, with MuscleNerd noting:

ipt4g 4.2.1 untethered JB w/4.2b3 kernel: … Wastes no exploits, but upcoming @comex JB maybe better

While it has been possible to jailbreak the iPhone 4, iPod touch (4G) and iPad under iOS 4.2.1 for some time, a tethered jailbreak solution had only been possible. However, it now seems that the release of an untethered solution is becoming more of a reality.

We’ll keep you posted on all the iOS 4.2.1 jailbreak news as it becomes available. In the meantime, check out MuscleNerd’s video below. And, thanks to 9to5Mac for spotting this.