If its the postage stamp sized chip( XILINX ), it will get very hot, 5 Volts flowing through it when power applied to xbox.
When conneceted to USB will not be as hot as only getting 3 Volts.
BTW, you like sticking your fingures on live electronics?
Very dangerous!!!!!!!! One slip and can get feed 120 V. NOT PLEASANT! Also, when live power, resistance from hands on pins "could" cause a short and kill code on XILINX.
If your getting power surge when USB connected, look at the white connectors and blue cable and make sure 100% connected snug.
If you applied for a RMA at eb2k, i can garauntee you will feel the heat of chip on replacement as well, as both mine do and my chameleon modchips as well. Almost like putting fingure on stove burner the feeling of heat.