I have had my LIVE account set up with two security measures...
cool
a. Live account in on Mem card, and won't show up unless it is in there.
b. Pass Code is set on that live account.
Questions:
1) This does NOT stop games like Splinter Cell from phoning home, does it?
No it doesn't stop them from phoning home... but you won't be banned if it does phone home it isn't logging into your account. They may try to access live in their auto way but unless you sign in yourself you won't be banned with your setup.
2) When the dash loads up, it shows me the friends, etc options. It is not until I click on those that it asks for the passcode. It is not until I input the passcode that this thing connects, right? Or if someone accessed that with the chip on, would that send info?
That is correct, it only sends info after the passcode is entered so if someone tried but didn't know your passcode, even with chip on, you wouldn't be banned.
3) Which is the easiest way to have the led turn red or orange while the mod chip is on, and stay green while it is off.
Can't you mod a bios with xbtool to do that? haven't loaded that up in a while so i forget.
I think security measures to keep someone on your box from accidentally logging into live would be a great pinned topic.
The most failsafe way i've seen so far is the two people who purportedly have not only been able to switch thier modchip on/off but during the same switch have switched between their real eeprom and one loaded with fake crap. This would cause you to never be banned from live no matter what you did with your modchip on.
Thanks!