(PS3 Slim Model No. CECH-2001A, System Software Version 3.40)

Hi all. I apologize if this comes off as a RTFM post, but I've earnestly read all I could, am overwhelmed by all the info. on these forums, and am running out of time as I will be quite busy when the summer ends. I would greatly appreciate it if any of the following questions were answered.

Since I've been fed-up w/ Sony this is not a dealbreaker, but should I be safe from a PSN ban as long I never log in? In the unlikely event that I wish to "un-jailbreak" the PS3, can I proceed as normal or is my system quietly sending my IP address and/or other info. to Sony at all times? I know this particular item has garnered a lot of discussion but I've struggled to find a consensus on the matter.

I have PS1 game saves created by the PS2 homebrew uLaunchELF. Is there any way I can convert them for use on my PS3? Keep in mind that since my PS3 doesn't have PS2 backward compatibility, as far as I know I can't run uLaunchELF on that particular system.

It seems quite obvious to me that the Geohot exploit was the big breakthrough in this scene. With 3.40 ofw, is it still the best way to go? Would I need to upgrade to 3.55 ofw first?

Thank you in advanced for all of your help & time!