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I think most e-readers will handle gutenberg books just fine. You can download them directly to your device, but I'd recommend using something like Calibre to sideload them (it's very easy to use).
Even on my 2nd gen kindle I could use the browser to download mobi files directly to the device and start reading immediately. The formatting tends to be somewhat of a problem, though. I need to have all my books justified, otherwise I simply won't read them; this is very easy to do in Calibre.
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