After releasing redsn0w 0.9.7b1, b2, b3 now redsn0w 0.9.7b4 for untethered iOS 4.2.1 jailbreak is out there under tester program of iPhone Dev Team.
According to official blog:
“The fourth beta is now available (testers ONLY please!). Starting with this version, redsn0w no longer requires you to install and run a separate program for the usbmux (this was a non-trivial procedure for many). It’s okay to keep that program running if you normally use it for ssh anyway. We also think we’ve fixed a race condition in the GUI that was causing redsn0w to crash during the “Preparing JB [...]