Microsoft began the new adjustment by temporarily removing the Xbox LIVE Rewards program and depositing any unused Microsoft Points into their associated accounts last month, and upon starting up an Xbox 360 to a valid Xbox LIVE subscription, gamers will be prompted to download a new update. The new download will convert all unused Microsoft Points on Xbox LIVE accounts to the currency amount used in that specific region. There have been over 40 territories affected by the new update, so you'll likely be making the change along with the rest of the world starting today. Xbox LIVE Gold Family Plans are also being eliminated in the near future, with Family Plans turning into individual Xbox LIVE Gold accounts at a time determined by the current length of the subscriptions on the Family Plan.
Microsoft has made it clear that all Xbox LIVE Marketplace items purchased before the update will still be redeemable with the new system, the Xbox Rewards program will be returning in the near future to offer Xbox LIVE gamers new ways to earn content for their favorite games and Microsoft Gift Cards will be arriving to retailers later in 2013 to offer services comparable to Microsoft Point Cards.
You can learn more about the new update by heading to the official Xbox website.