No it's not really. I've had that kind of CFW on my 3k for 3 years now and never had a problem with it really. I wish my last 1k hadn't broken though. Because I HATE the screen on the 3k. Next one is going to be a Go for me personally.
try go. i combine it with a dualshock 3 and component cables. i play it on my tv till my wife comes home, after that i just unplug the psp go and continue to play it on the small screen. just the opportunity to be able to play some great psp games on TV with a dualshock 3 is worth the price imho.
That's why you get a cheap 100x model (for dumping UMDs) and a Go if you want to go the Go route. CFW on both. Buy your games on UMD. Rip to MS. Play on Go. Problem solved.
Or go on eBay and nab a PSP 2000 for £30 with one game and no damage? (Lucky, but true; they sell very cheap if you bid at certain times)