Weird indeed, I can swear that I was able install usbnetwork using reboot.
Anyway it seems the device is very shaky after all this mess.
ssh seems to be dying once in a while, tried to install some kindlet and it doesn't show up, so I think I will update to 4.1.0 , do another factory reset and jailbreak again an see how it turns out to be.
As a general rule though is this a problem that my diags partition is 4.0.0 and the main partition is 4.0.1?
Also at the same time I never touched kernel and if I understand correctly it resides in its own partition so probably still 4.1.0 from before the update