The latest version of the ROM should be available to users in no time at all, with a public beta arriving at some point today according to Cyanogen’s tweet:
Some compromises may need to be made to allow Android 2.1 to fit on the G1 and MyTouch 3G due to limited available space on the devices - in fact, this is what is causing the delay before the release is live.
Nevertheless, this is still Android 2.1, and therefore a vast improvement with or without some extra features. As you can see from the video posted below, the operating system is working fine with the G1, and looks smooth considering the hardware limitations of the device.
Hopefully, the build will be finalized soon and we will finally be able to use Android 2.1 (T-Mobile may never even update these phones to 2.1 at all)! If you own a G1 or MyTouch 3G, let us know how you get on in the comments.