There’s a somewhat little known and often-unused function of iPod called "Notes" which can actually be quite handy for storing and reading text, creating a locked "kiosk mode", quizzes, games as well a full-length ebooks. The Notes reader is located in Menu > Extras > Notes. Only the more recent 3G and 4G iPods, including the iPod photo and iPod mini both have the iPod Notes application.

Here’s a quick and handy ebook creator that takes any .txt file on your hard drive you select and convert it to a zip file with the file split and linked for your iPod viewing pleasure.