How to SSH into your device.
You may be asking, what does it mean to SSH into your device?
SSHing means to access the system files within your device from your computer.
What you will need is: Your device to be jailbroken, The OpenSSH App
from Cydia, and the program WinSCP on your computer. You must also have
wi-fi for this method to work.
OpenSSH can be found in Cydia very easily. It is free so just download away.
WinSCP can be downloaded here.
After you download WinSCP run it and you will get this window:

First, go in your ipod and go to settings. Then click your wifi
connecting and click the blue arrow by your active wi-fi connection.
Then, you will see your Ip adress like 192.123.1.123
Type this into your Host name.
Next, type your username as root, and password as alpine. Then click login.
It may take a little bit to open up, but when you see a warning screen click yes.
There you are! You are in your iPod Touch!
You will come up to a menu like this:

The menu that appears will probably seem very confusing, because it is
in no way user friendly. There are many cool settings you can change
though, which you will find information about in this site, and
throughout the internet.
~ iPod Touch Mania Staff