Hum well I finally got a nerve to take a closer look at that newer iop compiler issue with ps2ftpd.
I think I may have found a solution: If it's indeed true, then dlanor will surely be happy as we can finally build uLaunchELF with the more current IOP compiler. Unfortunately the newer stuff does bloat everything somewhat so the binaries will likely be larger.
The problem was that newly transfered files to the mc would cause a crash when using -02 optimization with the newer IOP compiler. Dlanor and myself have been making releases with the older iop compier to get around this. Anyway I moved the "int iOpened = 0" variable declaration in FileSystem.c's FileSystem_OpenFile to the top with "int flags". That seemed to fix it. I noticed that when I put printf's in that same location I would get crashes even with the older IOP so that's what got me thinking. I hope nothing else crazy happens but all appears well.
It looks like I still have some more testing to do with FTP stuff.