Everytime I try using an app that uses BTstack, it does not activate. It always says "Activating BTstack" and doesn't change.

if you're on iOS 6, that's because BTstack doesn't work on iOS 6 yet if not, please reboot your device and try again

I am actually, is it going to update to iOS 6 anytime soon?

It will. It's just not my top priority at the moment(I'm sorry). If you can, I would stick to 5.1.1 until an untethered Jailbreak for all devices is out. Only iPod Touch 4, iPhone 3GS and 4 have the ability to run the tethered redsnow JB.

Do you know when an untethered jb is gunna be available as i am only want to use my ipod for gps purposes,s and i cant downgrade due to having no blobs thanks