How can I upgrade my iPod

Go to settings-general-software update. If it shows that your software is up to date, then your device probably can’t update any further. iOS 14.3, iPadOS 14.3, and tvOS 14.3 are the latest software updates (besides the beta updates).

To update an iPod you must connect it to iTunes and click the Check for Updates button from under the iPod's Summary tab.