If I buy a new iPhone 4 can I use it without service like an iPod?

Help!  Not iPhone savvy!  Will I be able to download games/apps and have full functionality (no phone use) using WiFi?  Do I just pull out of box and go?  Could I buy from this wireless distributor and just use for games/apps/music? 
Found this on Amazon:
Apple iPhone 4 8GB White - Verizon 
The buyer will receive a Brand New Apple iPhone 4 8GB White for Verizon that has a clean ESN and a Brand New USB Cable

Generally this is a sign that the iPhone had previously been
hacked/modified/jailbroken and the update relocked it to the
original wireless carrier. If this is the case, only that wireless
carrier can unlock your iPhone. You must contact them to see
if they offer unlocking and if you qualify.
Does the app Cydia appear on your iPhone?
What does it say when you look at Settings=>General=>About=>Carrier?
Unauthorized modification of iOS
http://support.apple.com/kb/HT3743 
If your iPhone has not been jailbroken, see the troubleshooting suggestions here: 
http://support.apple.com/kb/TS3424?viewlocale=en_US

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