If I restore my iphone will it lock itself?

My cousin gave me his At&t iphone 4 at the moment it has no service. If I was to restore it would I lose the ability to still access Wi-Fi and download apps? It was unlocked by At&t and never jailbroken.

The Iphone can be factory reset which will restore everything to the way it was when it came out of the box and this can be done through the settings menu. But please be aware when an Iphone is first activated it will lock it's self to the first network sim inserted into it any attempt to change the sim card and the iphone will lock it's self permanently and may become unusable.

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