OK, one of the NXE dash updates allowed you to install the official game dvd into the internal HDD and run the game from there. This allowed a faster access speed to the data and the game ran without all the dvd access noise. The downpoint was that you still needed the original DVD in the drive to play the game as an anti-piracy measure.
Now if you were to download a game from the live servers (for example a game Demo) this would also run from the HDD but without the required DVD being needed for access (Its a download, you don't have a DVD) This is a GOD or Game on Demand title.
Team XeDev's release of NXE2GOD, is a simple app that runs on a JTagged Xbox and allowed all of your NXE (HDD) installed games to run similar to downloaded ones, by patching them so they did not not require a DVD in the drive. So it turned NXE games into GOD games .... get it so far ?
Now ISO2GOD does one better, instead of having to burn a DVD with the game, you can extract the ISO directly into a GOD capable package that you place on the Internal HDD as if you downloaded the title, or NXE/Patched it.
The Padding removal is just that ... Removes the crap and makes the installed file smaller, so only the required game data is used.
A bit more clear now? 1st post of the day and may be a little rambling .. LOL
This post has been edited by Andy Hewitt: Jun 22 2010, 05:20 PM