Microsoft will move ahead with their plans to discontinue the use of Microsoft Points on the Xbox 360 console. With the next system update Microsoft will be converting Microsoft Points that users currently have into local currency. Microsoft Points that are converted into local currency will have to be used before June 1st, 2015.
Microsoft will be changing over so that all items will be reflected in the correct local currency prices. Microsoft will be starting to offer new Xbox Gift Cards in local currency values that should arrive at retailers starting later this year.
After the conversion, Microsoft will still accept Microsoft Point cards and codes for Microsoft Points until further notices, but once redeemed the Microsoft Points will be converted into local currency, but they will not have an expiration date from our understanding.
Microsoft isn’t saying exactly how soon they intend to starting deploying the update, but based on the fact that they released this notice here, from Mark Whitten and they have been testing it in beta for some time we have to think it will be coming to your Xbox 360 soon.