Taken From : http://forum.xda-developers.com/show...&postcount=478
For those of you with a HTC/Google Nexus One, here is a short tutorial!
Pre-compiled kernel and module for Froyo 2.2: (tested working on Cyanogen 6.0.0)
What you need:
Rooted Nexus One with bootloader unlocked
File posted above - this is the patched version that works with the backup manager.
1. Place the file psfreedom.ko in the root of your memory card.
2. Place the file boot.img in the same directory that your Android SDK tools are installed.
3. Reboot phone into fastboot mode by holding down the trackball during the power up.
4. Using a command prompt or from a shell window type fastboot boot boot.img
5. Once the phone has booted, open a terminal emulator and then type su.
6. Go to your memory card (usually /sdcard) and run insmod psfreedom.ko
7. Connect your Nexus One to the PS3 and power the PS3 off completely, following the guide for PSJB - power on, push power and then quickly push eject. You will not see anything displayed on your Nexus One.
8. To verify that it worked, go to the games menu and check for "Install Package Files".
Hope this helps!