There have been a large number of rooting applications lately. One of the most recent ones is pointed out by XDA member ctbear. In the discussion thread, he posts an app that is used to root many of the most current Android devices, including but not limited to: Droid X, Nexus One, Milestone, and many more. The dev also provides a list of the devices that this tool is not compatible with, so make sure that your device falls under the right list or you may end up damaging your device.
According to the developer, it uses the same exploit that was used to root Droid X
Tested this myself on Stock froyo, downloaded Shootme and superuser was granted
Seems to support 1-click unroot as well…I haven’t tried it though
All credits go to the developer!
You can find more information in the application thread.