@ Mr Dutch:
Yes, I exited FSM. Sorry, I forgot to mention that. I know I am out of FSM as I am able to enter recovery mode. When I am in FSM I cannot enter recovery mode. I have a video below to show what is happening.
I agree, I need to get rid of the spoof firmware. This is what I tried to do when attempting to downgrade to 2.30. It didn't work (see my previous post) and now my PS3 turns off 5 seconds after I turn it on. Here is a video to show what is happening:
The first part shows what happens without any dongle/USB.
The second part shows me trying to enter FSM with my dongle (which worked when I first tried to downgrade)
As you can see I don't get any display and the PS3 just turns off. I would love to try your method but I can't get into FSM or even my XMB.
Anything else I can try?