Andrew Liu has decided to port Swype to the Jailbreaking community. He is currently beta testing Swype for iOS iDevices which he calls iSwipe. In the initial release of iSwipe things were pretty limited. There were quite a few stability bugs and no path tracing (the line following your swyping). In a recent update by Andrew, however, things are looking much better. There is patch tracing, stability seems to be improved and accuracy seems to be improved also.
Here is a little video showing you guys how to install and use this little tweak.