So i tried to find a similar problem but could not find someone with the same problem.

Iphone 3g 16 gig
version 2.0 (5A347)
firmware 1.45.00

So situation:
I bought my iphone, jailbroke it myself with winpwn 2.5. It has been over 3 months using ismart sim card. Everything worked fine. But yesterday, it would not connect to wifi. I checked the settings tab and where there would normally have the wi-fi setting, it displayed "no wifi" and it was grey-ed out so you could not select an option. So i freaked out, restarted the phone and now the wi-fi option is present again. But, when connecting to a signal, the check mark would show up that its connected, but the wifi bars would not show up. Only edge icon works. It will not connect to a wifi source or stay connected even when "ask to join network" is turned off.

I was thinking of re-pwning my 3g, but don't know if that will work. If anyone can help, please do.

Thank you.