Microsoft Loses $1.2 Million From MS Points Scammers

March 9, 2011

Save and Quit reports that a group of clever hackers managed to bilk Microsoft for $1.2 million by creating counterfeit Microsoft Points codes for Xbox Live. The hackers created an algorithm that let them use old MS Points codes to generate new codes. They then shared these codes with the Internet, much to the chagrin of Microsoft.

Each refresh of the site would generate a new 160 point code. Hackers also released a stand-alone code generator that created codes for a Halo: Reach Banshee avatar prop or a 48-hour Xbox Live trial. Those late to the party found that the site was inaccessible as traffic got out of control.

Eventually Microsoft caught on and stopped the site's ruse. What the company can do about these illicit activities is unknown or if it can tell the difference between legit codes and counterfeit ones. In addition, it is unknown if the company can figure out who used these codes. If it can, you can expect a ridiculous number of bans in the future.

Source: The Escapist

Posted in Hackers Microsoft Xbox 360 Xbox Live

Comments

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by cpu64 on Thu, 03/10/2011 - 22:25.

Why are so many people such a waste of pregnancy...

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by DorthLous on Thu, 03/10/2011 - 11:11.

Not that it's a huge difference, but 1.2 or 1.4?

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by Andrew Eisen on Thu, 03/10/2011 - 12:24.

$1.2

It'll be fixed in a bit.

Andrew Eisen

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by DorthLous on Thu, 03/10/2011 - 22:34.

Thanks Andrew.

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by Kincyr on Thu, 03/10/2011 - 10:19.

it's easier and legal to use Bing Rewards. 400 MS Points for 400 credits. it's the only reason I use the Bing toolbar esp. now that webbrowsers have a built-in searchbar

岩「if Phyllis Schlafly wants to undo Women's Rights, she should lead by example and get back in the kitchen」

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by CyberSkull on Thu, 03/10/2011 - 06:08.

I think punishing users would be very difficult. Lots of sites do various code giveaways all the time. Most users could claim they thought it was just another promo.

Another thing to point out is a $2 code redeemed for $1.2 million is 600,000 redemptions. Assuming each user only redeemed once, that is 600,000 people. Assuming 2 redemptions per user, that is 300,000 people. It's not gonna look good to drop the banhammer on more than 100k users, especially if most of them protest saying they thought it was a legit offer.

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by SeanB on Thu, 03/10/2011 - 09:36.

Back at the site of the original exploit, there are countless people reporting they got 10K points OR MORE. Most ran the code generator until they got bored. I think once they hash out all the numbers, they're going to find that very few people (probably under a few thousand) actually used the generators.

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by Shahab on Thu, 03/10/2011 - 04:04.

And I shed not a single tear. Monetizing a platform is one thing, making people pay for every update, even when a developer doesn't want to, that is out of control greed. If I was to buy any console it would be an xbox b/c of xbox Live, but b/c of thier BS practices I can't bring myself to buy in. So PC for me, and Steam, all the way.

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by Andrew Eisen on Thu, 03/10/2011 - 12:26.

I have a lot of criticisms of the 360 but I won't buy one simply because I don't trust the damn thing to work.

Andrew Eisen

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by Roh02 on Thu, 03/10/2011 - 02:48.

too risky to try but cant say Im not amused

microsoft insists on making you pay even for stuff the developers wanted to release for free

Re: Microsoft Loses $1.2 Million From MS Points Scammers

Submitted by airford on Thu, 03/10/2011 - 02:37.

Odds are if you used the 160 point code more than twice, MS will know you cheated.

Shout box

E. Zachary Knight: Gamasutra explores the failure of Streetfighter X Tekken and has one of the best arguments against on-disk DLC I have ever read: http://tinyurl.com/d399ylu05/25/2012 - 1:46pm

ddrfr33k: about the xbox live hacks from last year, now we know: http://kotaku.com/5913228/report-how-scammers-are-stealing-xbox-live-accounts-and-what-they-do-with-them05/25/2012 - 12:31pm

tallimar: http://news.cnet.com/8301-1035_3-57440902-94/microsoft-legal-win-over-google-may-signal-ceasefire/05/24/2012 - 10:17pm

ZippyDSMlee: TIme or an operation!05/24/2012 - 6:43pm

ZippyDSMlee: PC parts are in wish me luck or hell!!05/24/2012 - 6:43pm

MaskedPixelante: 38 Studios and Big Huge Games are pretty much dead now. http://www.joystiq.com/2012/05/24/38-studios-and-big-huge-games-lay-off-entire-staffs05/24/2012 - 4:39pm

DorthLous: Actually, nop, I did miss the emoticon for some reason (getting used to pics?) and I didn't know you changed it since (since I posted previous to my shout and it was still there.) Anyhow, thanks for taking it out!05/23/2012 - 6:01pm

james_fudge: Well we were just testing it. but it is still on the submission to fight $pam.05/23/2012 - 5:48pm

E. Zachary Knight: James, No I don't have it. I was just wondering who does and why. More curiosity than anything.05/23/2012 - 5:38pm

james_fudge: Did you not see the emoticon and did you not see that it has already been changed back?05/23/2012 - 5:10pm

james_fudge: LOL05/23/2012 - 5:07pm

DorthLous: Why? Not shocked that people are barking to an additional hoop to jump through when posting from their already logged in account or just mentionning this to try to paint me as one always complaining?05/23/2012 - 4:45pm

james_fudge: big shock there ;)05/23/2012 - 4:30pm

DorthLous: I'll add my voice to those wanting it gone :S I'm already logged in, I don't need a captch'a. That's for those registering.05/23/2012 - 3:54pm

james_fudge: Et tu EZK?!?05/23/2012 - 3:51pm

Craig R.: I'm a One Man Quorum! And it's working for me now, thanks. :)05/23/2012 - 3:48pm

E. Zachary Knight: How do we determine who get's the game/captcha thingy? Is there a certain posting threshhold users have to meet before it is turned off?05/23/2012 - 2:25pm

james_fudge: Give it a chance, we're still adjusting it ;)05/23/2012 - 11:20am

james_fudge: One does not a Quorum make Craig.05/23/2012 - 11:16am

Craig R.: If I complete the stupid game, and it just deletes my comment, what's the point?05/23/2012 - 11:15am

All shouts

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