The iPhone Alley team have been hard at work getting iFuntastic v.3 ready for release, and it's finally gone live.  If you don't already know, iFuntastic started off as a simple way to add custom ringtones to your iPhone, but has since evolved into a full file browsing, application installing, wallpaper managing hothouse of general cellular hackery.  Now they've added support for PowerPC-based Macs, there's a new file browser, image editing and support for multiple home screens.

Interestingly, there's also a way to "unshackle" your iPhone, which is supposedly a more permanent form of Jailbreak, as well as an easy to use method to turn iTunes previews into ringtones.

iPhone Alley's site appears to be down for maintenance, but you can still access the v.3 upgrade from there or from Macenstein. 

[via blog.sciphone.net]