We managed to get this code from this wonderful site: http://www.transmissionbt.com/index.php running on the iPhone. Lots of fun now for some real time downloads etc. I've posted the binary of the cli above for those eager to get at it before it makes it to cydia. I'm using a legal torrent file from VMWARE here just to prove it works. Good times, I can finally close the book on all this crazy torrent stuff!
Please note that while this will apparently work with EDGE it is not very stable and it would be best to only attempt it while connected to a Wi-Fi network.